Axis REIT eyes RM3 billion assets under management

Axis REIT eyes RM3 billion assets under management

PETALING JAYA, April 29— Axis Real Estate Investment Trust (Axis REIT) plans to increase its asset portfolio to RM3 billion by acquiring more industrial assets and e-commerce sites.

Chief Executive Officer Leong Kit May said the trust was eyeing opportunities in Sabah and Sarawak due to the growing infrastructure such as the Pan Borneo Highway and good economy prospects in the two states.

She, however, declined to give a timeline to achieve the target.

“The demand for the industrial property segment is rising and it has excellent growth prospects,” she told reporters after Axis REIT’s annual general meeting here, Friday.

As at March 31, 2016, the trust owned 38 properties with total assets valued at RM2.16 billion, out of which 60 per cent of the portfolio are in Selangor, followed by Johor with 30 per cent.

“If we want to invest, all options, including the infrastructure, roads as well as population growth in Sabah and Sarawak must be considered.

“As for now, Kota Kinabalu, Sabah has potential assets market and if good assets come in, we will start our first investment there,” she said.

Meanwhile, Leong said Axis REIT would be finalising the purchase of two industrial properties, one each in Johor and Selangor, by the third quarter of this year.

She said the trust had just completed the acquisition of four industrial properties worth RM61 million in Johor.

Meanwhile, Axis REIT recorded a pre-tax profit of RM25.12 million for the first quarter ended March 31, 2016, up from RM23.32 million in the same quarter last year.

Revenue rose to RM41.22 million from RM40.62 million previously.

— BERNAMA
 

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