CapitaLand Ascendas REIT acquires Seagate’s R&D facility for $218.24m

The acquisition will expand CLAR’s footprint in the one-north district by 13%.

CapitaLand Ascendas REIT (CLAR) will expand its footprint in the one-north district with the acquisition of Seagate’s research and development facility at 26 Ayer Rajah Crescent.

In a bourse filing, CLAR said it will purchase the property for $218.24m.

Post-acquisition, CLAR’s footprint in the one-north district will increase by 13%  to $1.9b assets under management (AUM) and by 21% to 2.5 million sq ft net lettable area (NLA).

Other assets of CLAR in the one-north district are Nexus @one-north, Galaxis, Grab Headquarters, Neuros & Immunos, and Nucleos.

CLAR said the first-year net property income of the acquisition is about 8.3% and 7.8% pre-transaction costs and post-transaction costs, respectively.

“The pro forma impact on the DPU for the financial year commencing on 1 January 2022 and ending 31 December 2022 (FY2022) is expected to be an improvement of approximately 0.110 Singapore cents or a DPU accretion of 0.70%, assuming the Proposed Acquisition was completed on 1 January 20223,” CLAR added.