Ascott REIT's acquisition in Shinjuku, Tokyo will be converted and rebranded into a Citadines-branded serviced residence.Ascott REIT's acquisition in Shinjuku, Tokyo will be converted and rebranded into a Citadines-branded serviced residence.

Singapore-listed hospitality REIT, Ascott Residence Trust (SGX:A68U), announced on 30 September that it has completed the divestment of six rental housing properties in Japan for JPY4,475 million (SGD52.6 million).

The properties were disposed via its wholly-owned subsidiary, ARC-CapitaLand Three Tokutei Mokuteki Kaisha and sold to Japanese real estate firm Samty Co. Ltd. The divestment was first announced on 3 September 2015.

Ascott Residence Trust has described the disposal as being in line with the REIT’s strategy of unlocking properties with limited growth and re-deploying proceeds in higher yielding assets.

Units of the REIT last changed hands on the Singapore Exchange at SGD1.23.

By Ridzwan Rahmat

Ridzwan has been analysing REITs and business trusts since 2008, and personally manages a portfolio comprising mainly of SGX-listed REITs. He founded REITsWeek in 2013.