CapitaLand Malaysia Trust deepens Johor presence with acquisition of five high-quality industrial facilities for RM220.8 million

Latest acquisition positions CLMT to capitalise on rising demand for high-specification facilities in Johor’s industrial corridor

December 23, 2025 -- CapitaLand Malaysia Trust (CLMT) has entered into a forward purchase agreement to acquire five high-specification industrial facilities (the Subject Properties) in i-TechValley, located within Iskandar Malaysia, Johor. The facilities were acquired from Greenhill SILC Sdn. Bhd. and Pentagon Land Sdn. Bhd., both wholly owned subsidiaries of Bursa Malaysia listed-AME Elite Consortium Berhad. The agreed value of RM220.8 million, negotiated on a willing-buyer willing-seller basis, is at a discount of 0.6% to the independent market valuation1 of RM222.1 million commissioned by the Trustee.

The facilities are expected to be completed progressively from 1Q 2027 to 1Q 2028, allowing CLMT to phase leasing in line with market demand. Upon completion of all assets above and realisation of a full year of operating income, the acquisition is expected to contribute positively to CLMT’s income and be distribution per unit (DPU) accretive, with a projected first-year gross yield of approximately 7.3%.

Ms Yong Su-Lin, CEO of CapitaLand Malaysia REIT Management Sdn. Bhd. (CMRM), the manager of CLMT

Ms Yong Su-Lin, CEO of CapitaLand Malaysia REIT Management Sdn. Bhd. (CMRM), the manager of CLMT, said: “This acquisition supports CLMT’s strategy to expand our industrial and logistics portfolio with high-quality assets in an established location. Johor’s industrial market continues to benefit from the Johor-Singapore Special Economic Zone (JS-SEZ) and major infrastructure upgrades such as the Rapid Transit System (RTS) Link.”

“With these high-specification facilities, CLMT is well positioned to capture long-term growth from regional manufacturing expansion and supply chain realignment. Upon completion, CLMT’s Johor portfolio will comprise 11 industrial assets with a combined built-up area of approximately 781,937 square feet, enhancing portfolio diversification and operational synergies. This will increase CLMT’s industrial and logistics assets under management from 7.9% to 11.5%,” added Ms Yong. 

Strategic location within established industrial corridor

The Subject Properties have a total built-up area of 524,077 square feet and comprise five single-storey detached factories with two-storey office components and ancillary buildings. The facilities are designed to meet modern occupier requirements, featuring high floor loading capacities, generous ceiling heights, contemporary façades and loading bays with dock levellers.

Located within i-TechValley, a 170-acre industrial park at the Southern Industrial and Logistics Clusters (SiLC) in Iskandar Puteri, the Subject Properties benefit from a well-established industrial ecosystem. Designed as a sustainable, high-tech industrial park, i-TechValley caters to advanced manufacturing, logistics and technology-driven industries.

The gated and guarded park is supported by robust infrastructure and security features, including 24-hour security monitoring, CCTV surveillance, access card controls, RFID vehicle access, a visitor management system, high-speed broadband connectivity and reliable power and water supply.

The Subject Properties also enjoy excellent connectivity to major highways and are located within a 20-minute drive from the Tuas Checkpoint, enhancing their appeal to Singapore-linked occupiers and regional supply chain operators.

(From right to left) Yong Su-Lin, CEO of CMRM with Dylan Tan, CEO of AME Elite Consortium Bhd Group

Financing the acquisition

The acquisition will be financed through existing debt facilities. As part of the forward purchase arrangement, CLMT will only pay a 10% deposit upfront, with the balance to be paid upon completion.  

Following the transaction, CLMT’s proforma gearing will increase from 39.8% to 42.2%. The acquisition is expected to contribute income progressively from the financial year ending 31 December 2027. 

Footnotes:

1. The independent valuation by Nawawi Tie Leung Property Consultants Sdn. Bhd. indicated the market value of the Subject Properties to be RM222.1 million as at 2 December 2025.

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