Amanah Raya Bhd (ARB) is acquiring a 13-storey office tower in Subang – another potential asset for its real estate investment trust (REIT) business – for RM96.5mil. Its vendor is Puncakdana Sdn Bhd and the Reit will then lease the tower to Symphony House Bhd for a 10-year-plus-five term.

For ARB’s REIT business, managed by its 70%-owned subsidiary AmanahRaya-JMF Asset Management Sdn Bhd this purchase which is due for completion by December, the tower will have a net lettable area of about 268,218 sq ft.

AmanahRaya-JMF managing director Datuk Mohamed Azahari Kamil said Dana 13’s purchase was part of the acquisition trail to inject five new properties into its REIT, increasing the fund size to RM700mil by end-September from RM336mil currently. The Reits plan to reach the RM1bil mark by year-end

When AmanahRaya REIT made its debut in February, 65% of the subscribers were foreign investors, he said, adding: “REIT managers should be allowed to invest in at least 10% to 20% of the net asset value of undeveloped properties.”

Some of the properties currently managed by ARB:

· the Holiday Villa in Alor Star,

· Holiday Villa Langkawi,

· Wisma Amanah Raya in Kuala Lumpur,

· Permanis factory in Bandar Baru Bangi,

· SEGi College

· Wisma UEP in USJ,

· Wisma Amanah Raya in Bukit Damansara, and

· South City Plaza (Block A/B) in Seri Kembangan.

(4/9/07 –The Star Malaysia)

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