Malaysia-listed Al-Salam REIT announced on 3 October that it has entered into a conditional sale and purchase agreement with Mydin Wholesale Cash and Carry for the acquisition of Mydin Hypermarket Gong Badak.
The property, a double storey hypermarket with a mezzanine level and 796 car park bays, is being acquired for a total cash consideration of MYR155.0 million.
The property is approximately three years old, is about 95% occupied, and features approximately 245,000 square feet of net lettable area.
Upon acquisition, Mydin Hypermarket Gong Badak will be leased back to Mydin Mohamed Holdings for a period of 30 years on a triple net lease agreement, said Al-Salam REIT.
The REIT is also entitled to exercise a rental increment of 5% every two years throughout the lease term.