The REIT’s initial portfolio is expected to comprise 23 properties with 21 leasehold properties in Singapore and two freehold properties in Japan. The IPO portfolio has a total agreed property value of about $1.9 billion, subject to the finalisation of the valuations. Boustead is expected to hold up to 16.9% of the IPO units upon listing.
Boustead Singapore’s proposed REIT spin-off is a “positive” for the company, says OCBC Investment Research analyst Ada Lim.
Boustead, on Sept 18, said it will name its proposed REIT, UI Boustead REIT, which will invest in logistics, industrial, high-specifications industrial and business space assets directly or indirectly. The REIT will be sponsored by UIB Holdings, in which Boustead has a 20% interest.
