AMANAHRAYA REIT TARGETS RM2 B IN FUND SIZE

ARREIT had properties with total asset value of RM1.5 billion in Kedah and Klang Valley as of March 31 this year

AMANAHRAYA-Kenedix REIT Manager Sdn Bhd (AmanahRaya REIT), the management company of AmanahRaya Real Investment Trust (ARREIT), has targeted to grow its fund size to RM2 billion in the next two to three years.

As at March 31 this year, ARREIT had 15 properties with total asset value of RM1.5 billion in Kedah as well as Subang Jaya, Damansara Heights, Petaling Jaya, Shah Alam and Kuala Lumpur.

“We aim to continue acquiring yield and valueaccretive assets in the long term and strive to grow our fund size to RM2 billion in the next few years.

“We are always ready to acquire and are eyeing buildings in good locations, including Grade A office buildings and

good retail malls.

“In terms of dividend and capital values, we are targeting sizeable assets located in the prime areas within the Klang Valley as well as major cities in the northern and southern region with great potential for growth,” Amanah Raya Bhd group managing director Adenan Md Yusof said after AmanahRaya REIT’s annual general meeting, here, yesterday.

AmanahRaya REIT and ARREIT are subsidiaries of Amanah Raya Bhd.

For the financial year ended December 31 last year, ARREIT’s total value asset was 1.83 per cent lower at RM1.5 billion with 15 properties, compared with RM1.53 billion in 2017.

This was due to the disposal of Silver Bird factory in Shah Alam.

On January 16 last year, ARREIT completed the acquisition of Vista Tower, The Intermark for RM455 million.

Rental income significantly increased to RM96.68 million last year from RM60.42 million in the previous year, mainly contributed by the rental income from Vista Tower.

This translated to a higher net realised income of RM34.97 million last year from RM31.65 million in 2017. ARRREIT has declared a total distribution per unit of 6.1 sen compared with 5.5 sen in 2017.