A-Reit to develop $32.5m project at Changi LogisPark
ASCENDAS Real Estate Investment Trust (A-Reit) yesterday said it will develop a partial build-to-suit distribution facility at Changi LogisPark (North) with Zuellig Pharma as its anchor tenant.
The proposed project is expected to cost about S$32.5 million with completion slated for early 2008.
A-Reit said in its statement yesterday that the development, to be built on a 20,137-square-metre site, will be a two-storey distribution centre-cum-office facility.
The land tenure is 60 years starting from Jan 1, 2007.
The gross floor area for the project is pegged at 30,439 sq m, with net lettable floor area estimated at 28,619 sq m.
Zuellig Pharma, a marketing and distribution company for pharmaceutical products, will commit to 80 per cent of the space for 10 years from the completion of the building, with an option to renew for another 5+5 years upon the expiry of the initial lease.
The remaining 20 per cent of the space at the proposed development will be leased to third-party users.
The transaction also includes a lease restructuring on Zuellig Pharma’s existing tenancy in its Changi Logistic Centre premises, which will be vacated when A-Reit’s project is completed.
Tan Ser Ping, chief executive officer of A-Reit manager Ascendas-MGM Funds Management, said the proposed development will strengthen A-Reit’s relationship with Zuellig Pharma, an existing tenant, and reaffirm A-Reit’s commitment in providing total business space solutions that help its tenants improve their operating efficiency.
A-Reit has appointed Ascendas Land Singapore as development manager, and Ascendas Services as its project manager to oversee and supervise the development and construction process.
Source : Business Times - 22 Nov 2006
Loading ...
Post a Comment
Tell me a bit about yourself; who you are, where you're from, what information you would like to see on this site. As I continue to provide you with Singapore property happenings, your feedback will encourage me to post more frequently. Thank you.