AIM to gain RM1.6m from land disposal

The group, via its unit Advanced Supply Chain Solutions Bhd (ASCS), has entered into a sale and purchase agreement (SPA) on Tuesday, Sept 14,  to sell the property, located in Axis Premier Industrial Park, Shah Alam, to Worldwide Resins & Chemicals Sdn Bhd.

The property comprises a warehouse and 2-storey office building built on top of a 3,720 sq m freehold land parcel.

The buildings are about six years old, and are fully occupied.

AIM is currently occupying 1,050.55 sq metres of the property while 1,215.45 sq m is partially tenanted. The total lettable area comprising the built-up is 2,266 sq m.

Rental of the tenanted area is RM24,126 per month with the tenancy slated to expire on Nov 30.

According to the group, the price was arrived at on a "willing buyer-willing seller" basis after taking into consideration a valuation by TD Aziz Sdn Bhd on Feb 8, when the property was valued at RM4.5 million using the comparison method, as well as the prevailing market value of commercial properties in the area as well as its location and condition.

Based on ASCS's audited financial statements as at  Dec 31, 2009, the net book value of the property is RM4.46 million.

The group said that it had decided to sell the property as its maintenance cost, security services, insurance premium and other related outgoings in respect of its usable space is not cost-effective.

AIM said the RM1.6 million will be used as working capital within the next 12 months.