ESR-LOGOS REIT is divesting its asset in Victoria, Australia for AUD65.5 million.

The asset, which is located at 182-198 Maidstone Street, is being divested at a 7.4% premium to its valuation of AUD61 million.

The divested asset is a logistics facility situated on freehold land.

It has a total net lettable area of 37,862 square metres.

ESR-LOGOS REIT has indicated that the divestment is not expected to have a material impact on its net asset value and distribution per unit for FY2024.

Net proceeds from the divestment will be deployed to repay outstanding borrowings, finance potential acquisitions, asset enhancements initiatives, among others, said the REIT.

Upon completion of the divestment, ESR-LOGOS REIT’s portfolio will consist of 71 properties located across Singapore, Japan and Australia, as well as investments in three property funds in Australia.

ESR-LOGOS REIT was last done on the Singapore Exchange at SGD0.305, which presently implies a distribution yield of 8.41% according to data on the Singapore REITs table.

By Shariffa Al-Habshee

Shariffa joined REITsWeek in 2017, and monitors Asia-Pacific REITs for the publication.