CAPITALAND Malaysia Trust (CLMT) has entered into a sale-and-purchase agreement to acquire 2 contiguous plots of freehold land and their industrial properties in Penang for RM80 million (S$25.1 million), the Reit manager, a subsidiary of CapitaLand Investment Limited : 9CI -0.26%, said on Tuesday (Jun 7).

 

Sitting on a land area of approximately 12.6 acres, the plots, next to each other in Penang&rsquo s Sungai Jawi district, have a net lettable area of approximately 335,000 square feet and tenants operating in the logistics sector.

 

The property includes a single-storey warehouse annexed to a double-storey office building, as well as 2 single-storey detached warehouses, and other ancillary buildings.

 

The deal is expected to be completed by in H2 2022.

 

Post transaction, CLMT&rsquo s gearing is expected to increase from 35.9 per cent to 37.2 per cent. The manager said the proposed acquisition will contribute positively to CLMT&rsquo s earnings and is accretive at the distribution level.

 

This marks CLMT&rsquo s entry into the logistics sector. Its current portfolio comprises 5 shoppings malls and a complementary office block across 3 key urban centres in Malaysia.

 

Tan Choon Siang, chief executive of CapitaLand Malaysia Reit Management, said: &ldquo We are pleased to embark on the acquisition of our maiden logistics property, which is well-placed to benefit from Penang&rsquo s growing importance as one of the most dynamic industrial hubs in Malaysia. We believe the demand for logistics warehouses in Malaysia remains strong and resilient.&rdquo

CAPITALAND Malaysia Trust (CLMT) has entered into a sale-and-purchase agreement to acquire 2 contiguous plots of freehold land and their industrial properties in Penang for RM80 million (S$25.1 million), the Reit manager, a subsidiary of CapitaLand Investment Limited : 9CI -0.26%, said on Tuesday (Jun 7).

 

Sitting on a land area of approximately 12.6 acres, the plots, next to each other in Penang&rsquo s Sungai Jawi district, have a net lettable area of approximately 335,000 square feet and tenants operating in the logistics sector.

 

The property includes a single-storey warehouse annexed to a double-storey office building, as well as 2 single-storey detached warehouses, and other ancillary buildings.

 

The deal is expected to be completed by in H2 2022.

 

Post transaction, CLMT&rsquo s gearing is expected to increase from 35.9 per cent to 37.2 per cent. The manager said the proposed acquisition will contribute positively to CLMT&rsquo s earnings and is accretive at the distribution level.

 

This marks CLMT&rsquo s entry into the logistics sector. Its current portfolio comprises 5 shoppings malls and a complementary office block across 3 key urban centres in Malaysia.

 

Tan Choon Siang, chief executive of CapitaLand Malaysia Reit Management, said: &ldquo We are pleased to embark on the acquisition of our maiden logistics property, which is well-placed to benefit from Penang&rsquo s growing importance as one of the most dynamic industrial hubs in Malaysia. We believe the demand for logistics warehouses in Malaysia remains strong and resilient.&rdquo

 

CAPITALAND Investment : 9CI +0.51% (CLI) has achieved green building certifications for 48 per cent of its global portfolio by square metres (sq m), it said in its 2021 Global Sustainability Report released on Tuesday (May 31).

 

In Singapore, 67 per cent of CLI&rsquo s properties are green-certified, with 20 buildings given the BCA Green Mark Platinum certification.

 

The real estate investment manager also reported S$320 million in utilities cost avoidance since 2009, by reducing carbon emissions, energy and water intensities.

 

It cut water consumption intensity by 52 per cent and energy consumption intensity per sq m by 43 per cent, exceeding its 2030 Sustainability Master Plan targets by 7 and 8 percentage points respectively. Carbon emissions intensity was also down by 54 per cent.

 

Together with the release of the sustainability report, the group said it plans to commit to net zero by 2050. To attain this goal, it aims to lower its scope 1 and 2 greenhouse gas emissions by 46 per cent by 2030 (from a 2019 base year), instead of the 28 per cent previously planned.

 

The net-zero commitment builds on other sustainability targets outlined in the group&rsquo s 2030 Sustainability Master Plan released in October 2020. These targets include accelerating its transition to a low-carbon business, improving water conservation and resilience, as well as enabling a circular economy.

 

Moving forward, CLI will look to lessen energy use and improve energy efficiencies through building designs and engineering solutions intensify deployment and use of on-site renewable energy where feasible purchase green power and use renewable energy certificates only as a last resort.

 

In 2021, the group said it increased its renewable energy use to about 4.3 per cent (47,800 megawatt hours) of its total electricity consumption. This mitigated about 28,960 tonnes of carbon emissions &ndash equivalent to electricity used in 10,608 households annually.

 

CLI added that it plans to raise its total electricity consumption from renewable energy sources to 35 per cent by 2030.