Connect with us

Real Estate

Thailand’s TICON to launch 32 billion baht ($964 million) REIT

Thailand’s Ticon Industrial Connection Plc (TICON) plans to convert three of its property funds into the country’s largest real estate investment trust (REIT) with total combined asset of 32 billion baht

Avatar

Published

on

Thailand’s Ticon Industrial Connection Plc (TICON) plans to convert three of its property funds into the country’s largest real estate investment trust (REIT) with total combined asset of 32 billion baht ($964 million).

The three property funds are Ticon Property Fund, Ticon Park Logistics Fund and Ticon Industrial Growth Fund. The merger comes amidst  the Securities and Exchange Commission regulation that disallows property funds from raising further capital in a move seen to promote REITS.

TICON unveiled plans to convert three property funds – TFUND, TLOGIS, TGROWTH into TREIT by fixing a swap ratio at rate of 1 investment units of funds to 0.9874 / 1.0129 / 0.8673 trust units of TREIT, accompanied by a cash of 1.6977 / 1.7415 / 1.4911 baht per unit respectively. Therefore, the funds/trust unitholders’ meeting will be held during 18-19 October.

The group is confident that the move will surely bolster unitholders’ benefits from the conversion. After a successful merger, TREIT will further invest at least Bt3.5 billion in TICON assets, which will drive a huge asset size to reach Bt35 billion, making TREIT become the largest industrial trust in Thailand.

TICON will hold a meeting of unit holders voting on October 18-19 for voting on the proposal. If the plan secures approvals, TICON will appoint BBL Asset Management as the trustee for the TREIT (TICON REIT) and complete the conversion this year.

“If the merger is successful, TREIT will further acquire additional assets particularly ready-made factories and warehouses worth at least 3.5 billion baht, which will drive its asset size to over 35 billion baht,” said chief executive officer Virapan Pulges.

The three property funds have a combined rental space of 1.5 million square m, covering 22 locations in seven provinces in Thailand. It has made a joint venture with Indonesia’s PT Surya Semesta Internusa Tbk and Japan’s Mitsui & Co for building factories and warehouses with 100,000 square m earmarked in Indonesia.

“Following the conversion, TREIT’s strengths are attributed to its strong diversified asset base to grow future business on the basis of selected strategic locations, lease terms, and the number of lessees. The broadly diversified portfolio of real estate investment will provide a balanced revenue stream from a wide spectrum of sources and varied categories of lessees. TREIT will have factories and warehouses in 22 locations, spreading over seven major provinces with high economic growth. There will be a total number of 492 units totaling 1,489,860 square meters with 69% freehold and 31% leasehold. Warehouses account for 192 units of 739,125 square-meter space and factories, 300 units of 750,735 square meters. With the additional assets from TICON, TREIT will become the largest REIT in Thailand.” explained Mr. Peerapat.

Source link

DEALSTREETASIA Pte. Ltd. is a news and intelligence platform providing reports on investments, mergers, acquisitions, private equity, venture capital, investment banking and the business of startups across the Asian region.

DEALSTREETASIA Pte. Ltd. is a news and intelligence platform providing reports on investments, mergers, acquisitions, private equity, venture capital, investment banking and the business of startups across the Asian region.

Comments

Real Estate

How COVID-19 is boosting digital twins in office buildings

The digital twin market — the phrase used to describe a virtual copy of a physical building, combining a 3-D model of a facility with the dynamic data needed to show visualizations and analysis — is growing at hyperspeed.

Daniel Lorenzzo

Published

on

The 65-story skyscraper at 311 South Wacker Drive in Chicago boasts magnificent views of the Chicago River, Grant Park and even Lake Michigan. However, for the owners, visibility of the building’s inner workings was more important, and more difficult to access.

(more…)

Continue Reading

Real Estate

Covid-19 puts flexible space markets under strain

Long-term future of flexible space remains bright says JLL, but the global Covid-19 outbreak has had serious negative effects on commercial real estate, including flexible space.

Daniel Lorenzzo

Published

on

Despite varied market conditions and end-user demand across the region, the Covid-19 outbreak has put some operators under financial strain

The global Covid-19 outbreak has had serious negative effects on commercial real estate, including flexible space. Of late, many operators have experienced the flexible nature of the business working against them, as many occupiers have opted to surrender desks and implement work-from-home plans.

(more…)

Continue Reading

Real Estate

Thai Cabinet slashes 2020 property tax by 90%

The Cabinet today approved a 90 percent reduction in the Land and Building Tax this year to help the general public cope with economic disruption from COVID-19, and prevent potential issues with land and building taxation in the future.

National News Bureau of Thailand

Published

on

BANGKOK(NNT) – The Cabinet has approved a reduction in Land and Building Tax this year of 90 percent to help ease economic disruption from the COVID-19 pandemic.

(more…)

Continue Reading

Cart

Most Viewed

Events Calendar

« September 2020 » loading...
M T W T F S S
31
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
1
2
3
4

Subscribe via Email

Enter your email address to subscribe and receive notifications of new posts by email.

Join 12,915 other subscribers

Latest

Trending