KWAP buys two UK properties for RM280mil

PETALING JAYA: Retirement Fund Inc (KWAP) has purchased two properties in the United Kingdom for £39.75mil (RM280mil) as it seeks to strengthen its presence in foreign markets.

In a statement issued yesterday, the pension fund announced that it had acquired two purpose-built student accommodations, namely, 800 Bristol Road in Birmingham and The Mill House in Edinburgh, for £14.62mil and £25.13mil, respectively.

Both properties were acquired from IP Investment Management (HK) Ltd and Maven Capital Partners.

KWAP indicated that the estimated average net yield of the properties was 5.08%.

“We are very pleased to add the two properties to our growing portfolio in the UK market, as the acquisition aligns with KWAP’s aspirations to increase its international property exposure.

“We will continue to grow our presence in foreign markets without compromising on our risk appetite, in line with our mission to serve the pensioners of Malaysia,” stated chief executive officer Datuk Wan Kamaruzaman Wan Ahmad.

Following the acquisition of both properties, the total number of properties owned and co-owned by KWAP has risen to 14 units. Apart from the UK, the pension fund’s other international properties are located in Australia and Germany.