When looking to invest in a condominium, it is crucial to also take into account its maintenance and management. Condos often come with maintenance fees that cover the maintenance of shared spaces and amenities. While these fees may increase the total cost of ownership, they play a significant role in maintaining the property’s condition and preserving its value. To make condominium ownership a more passive investment, investors can opt to hire a property management company to handle the daily management of their unit. This is particularly beneficial for those investing in Singapore Projects.
The manager of AIMS APAC REIT (AA REIT) has announced that the REIT’s trustee, HSBC Institutional Trust Services (Singapore) Limited, has signed a sales and purchase agreement with Crown Worldwide for the sale of its property located at 3 Toh Tuck Link. The sale price of $24.388 million is a 32.5% premium to the property’s valuation of $18.4 million as of March 31.
The property is comprised of a three-storey factory and a five-storey ancillary office building, with a total gross floor area of 12,492.4 sqm. According to the article titled “Industrial building on Toh Tuck Link for sale at $30 mil”, the net proceeds from the divestment will be reinvested to support AA REIT’s growth initiatives, including potential new acquisitions, asset enhancements, and future redevelopment projects.
CEO Russell Ng stated that this divestment is part of AA REIT’s proactive asset management strategy and continuous efforts towards portfolio rejuvenation. This will ultimately strengthen the REIT’s resilience and deliver sustainable returns for its unitholders. The completion of the sale is expected to take place in the first half of 2025, subject to JTC Corporation’s approval.
After the divestment, AA REIT’s portfolio will consist of 27 properties in Singapore and Australia.