High-tech Industrial REIT Ascendas India Trust (a-iTrust)(SGX:CY6U) has announced its investment in a third property within the aVance Business Hub located in Hyderabad, India. The property will be christened the "aVance 3" and will have a total floor area of 690,520 square feet once construction completes.
|Hyderabad has been the hot bed of high-tech Indian based outfits particularly in recent years.|
The investment in aVance 3 was one of the intended use of proceeds from the private placement completed on 8 October 2012. Total acquisition cost of aVance 3is currently estimated at INR 2,600 – INR3,000 million (approximately S$59 - S$69 million). The property is expected to be tenanted to high-tech enterprises that have blossomed in the Hyderabad area in recent years. As at 28 February 2013, the leasing commitment level at aVance 3 is at 41 per cent and the building is expected to be complete by mid 2013.
a-iTrust was listed in August 2007 as the first Indian property trust in Asia. Its parent, Singapore-based Ascendas Group, is Asia's leading business property landlord with a chain of industrial park developments across the continent. Shares of a-iTrust ended the day 1.83 per cent higher on the SGX (SGX:S68) at S$0.835.
In related news, a-iTrust has also announced the appointment of Mr Arthur Tan Meng Teck as the Chief Financial Officer of the Trustee-Manager. His appointment follows the resignation of Johnnie Tng Chin Hwee who left the trust in January for personal reasons.