AREIT, Inc., Ayala Land’s real estate investment trust, has acquired 9.8 hectares of land from Ayala Corporation’s subsidiary Technopark Land, Inc. (TLI) in Laguna Technopark through a deed of sale for P1.1 billion (VAT-inclusive).
In a disclosure to the Philippine Stock Exchange, AREIT said the lot comprises four parcels and is being leased by Integrated Micro-Electronics, Inc. (IMI) for the next 7 years.
IMI is among the leading players in global manufacturing and technology solutions and is a listed subsidiary of Ayala Corporation.
Meanwhile, Laguna Technopark is a 471-hectare premier industrial park spanning portions of Biñan and Santa Rosa in the province of Laguna currently managed by AyalaLand Logistics Holdings Corp. (ALLHC), a listed subsidiary of Ayala Land, Inc.
The acquisition of this land will directly contribute to AREIT’s income starting this month, adding to the earnings generated by the company’s existing buildings.
This will increase the distributable income to its shareholders, demonstrate AREIT’s ability to deliver stable and regular dividends, and strengthen its potential for capital appreciation.
Together with the acquisition of The 30thin Pasig, AREIT’s portfolio will reach 344 thousand square meters of leasable space, double its current size of 171 thousand square meters, only five months from its IPO. This likewise brings up AREIT’s total property value to P37 billion.
“Aside from being value-accretive to investors, AREIT’s assets promote job creation for Filipinos. AREIT’s office buildings are home to top local and global companies that employ over 50,000 Filipino workers including this newly acquired land where over 5,000 jobs are generated,” said AREIT President and CEO Carol Torres-Mills.