Al-Salam to finalise three property acquisitions in two years

Al-Salam to finalise three property acquisitions in two years

KUALA LUMPUR, September 29  — Johor Corporation’s (JCorp) real estate investment trust (REIT) Al-Salam is expected to finalise three property acquisitions within two years.

JCorp President and Chief Executive Officer Datuk Kamaruzzaman Abu Kassim said the properties are located in Kuala Lumpur and Johor.

The company is expected to raise RM252.36 million via its listing, with RM242.86 million to be used to pay for the properties and the remaining RM9.5 million for listing expenses.

“We are planning to purchase five assets and three deals are expected to be completed in two years. The properties would be similar to what we have now — office buildings, shopping malls, food and beverages retail outlets and college buildings,” he told reporters after the listing ceremony here today.

The acquisition of the assets would be satisfied partly via units and cash.

Asked on the property glut in Johor, Kamaruzzaman said as the company’s current assets are located in strategic areas, the issue has not affected Al-Salam.

The occupancy rate of Al-Salam’s assets Komtar JBCC shopping mall and @Mart Kempas is above 90 per cent while that for KFCH College, certain KFC and Pizza Hut outlets and warehouses is 100 per cent, he added.

Its current assets are collectively valued at RM903.14 million.

On the sliding ringgit, he noted that more Singaporean investors are coming into Malaysia, benefiting the company.

At 10.47 am, the share price was traded at RM1.07 sen with 948.525 million shares changing hands.