The lease agreement between Cache Logistics Trust and master tenant C&P Land over 51 Alps Avenue expired on 31 August 2016, but the latter has failed to deliver vacant possession of the property.
As such, Cache Logistics Trust will now be taking action against C&P Land to claim double the rent payable as provided for in the master lease agreement between both parties, the Singapore-listed industrial REIT has confirmed.
During its tenure as master tenant, C&P Land subleased the property, which is also known as Schenker Megahub, to Schenker Singapore under an anchor tenant agreement.
However C&P Land and Schenker Singapore subsequently went to court over a lease renewal dispute, but Schenker Singapore continues to occupy the property, said Cache Logistics Trust.
Court proceedings between C&P Land and Schenker Singapore are currently still ongoing, said the REIT.
51 Alps Avenue is the largest freight and logistics property located in Singapore’s Airport Logistics Park, the free trade zone adjacent to Changi International Airport. The property features an eight-storey ramp-up logistics facility with four levels of warehouse and ancillary offices.
The manager of Cache Logistics Trust has reminded unitholders that it will make relevant announcements as and when there are material developments, and advised caution when dealing with units of the REIT.
Units of Cache Logistics Trust finished the trading day unchanged from its previous close on the Singapore Exchange at SGD0.91.