Frasers Logistics Trust to divest rest of Victoria property

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Frasers Logistics & Industrial Trust (FLT) said Friday it entered a deal to sell the office and deck car park components of a Victoria, Australia, property to Enjoy Church for A$5.4 million (S$5.15 million or US$3.73 million).

The consideration is a 20 percent premium to the A$4.5 million book value of the components, as of mid-April, FLT said in a filing to SGX at midday.

The estimated net proceeds are around A$5.1 million, which may be used to fund potential acquisitions, reducing existing debt and/or other general corporate purposes, the filing said.

The deal follows the proposed sale of the warehouse and hardstand components of the property.

Robert Wallace, CEO of Frasers Logistics & Industrial Asset Management, the REIT manager, said the latest deal would complete the effort to realized the property’s underlying value.

“The proposed divestment of this property will create greater financial flexibility and further optimises FLT’s portfolio metrics,” Wallace said in the statement.

The property is located at 610 Heatherton Road, Clayton South in Victoria, the filing said.

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