Axis-REIT to enhance and reposition assets

KUALA LUMPUR: Axis Real Estate Investment Trust (Axis-REIT) aims to enhance and reposition its assets to increase performance, said Axis REIT Managers Bhd chief executive officer Stewardt Labrooy.

Axis REIT Managers is the manager of Axis-REIT.

"The aim of the asset enhancement is to assess the REIT's portfolio from a property player's perspective. It will increase the occupancy rate, rental as well as valuation of the properties," Labrooy told a media briefing here on Tuesday, Jan 18.

He said asset enhancement was currently being undertaken for Menara Axis, Crystal Plaza, Fuji Xerox Asia Pacific and Infinity Centre.

"We are upgrading the facade and giving a facelift to common areas so as to add value to these assets," he said.

Major enhancements would also be undertaken this year on Kayangan Depot in Shah Alam and the Cycle & Carriage complex in Petaling Jaya, he said.

He said the Kayangan Depot building would be repositioned to face Section 15 Shah Alam roundabout while building cladding systems and power supply would be improved and upgraded.

As for the Cycle & Carriage complex, Labrooy said refurbishment of the existing building would include enhancing the exterior and adding new space to for optimium use.

He said Axis-REIT, which currently owned a portfolio of 26 commercial, office and industrial real estate in Malaysia, managed total assets worth RM1.3 billion.

Last year, Axis REIT Managers acquired Tesco Hypermarket, Axis PDI Centre and Axis Technology Centre and concluded the purchase of two warehouses from IDS Logistics Services (M) Sdn Bhd in Seberang Prai, Penang.

Axis-REIT recorded a higher pre-tax profit of RM101.401 million for the financial year ended Dec 31, 2010, compared with RM61.976 million recorded in 2009.

Revenue increased 25% to RM89.851 million from RM71.87 million previously.

The realised income before taxation and available for distribution amounted to RM52.598 million, for the year under review, bringing the total distribution in 2010 to 16% per unit. — Bernama