CapitaLand Ascendas REIT Completes S\$565.8 Million Singapore Acquisition and Premium US Divestment

Key Highlights

• Completion of S\$565.8 Million Acquisition: CapitaLand Ascendas REIT (“CLAR”) has finalized the purchase of three high-quality industrial and logistics properties in Singapore, further strengthening its domestic portfolio.
• Strategic US Divestment: CLAR has successfully divested its 8700 – 8770 Nimbus property in Portland, Oregon, achieving a 10% premium over its latest independent market valuation and a 16% gain over its original purchase price.
• Expanded Portfolio Footprint: Post-transaction, CLAR’s portfolio stands at 226 properties across Singapore, Australia, the United States, and UK/Europe.

Detailed Overview of the Transactions

Singapore Portfolio Acquisition

On 30 December 2025, CapitaLand Ascendas REIT Management Limited, the manager of CLAR, announced the completion of the acquisition of three strategically located properties in Singapore:

• 2 Pioneer Sector 1: A ramp-up logistics property, expected to cater to high-throughput logistics operators and increase CLAR’s exposure to the logistics sector.
• Tuas Connection: A light industrial property, broadening CLAR’s industrial asset base and providing diversification within the sector.
• 9 Kallang Sector: A high-specifications industrial property, enhancing the quality and yield profile of the REIT’s Singapore portfolio.

The total consideration for the acquisition is approximately S\$565.8 million. This transaction is accretive and is expected to improve CLAR’s overall income and asset quality in its home market.

US Divestment: 8700 – 8770 Nimbus, Portland, Oregon

CLAR has divested its business space property at 8700 – 8770 Nimbus, Portland, Oregon, to an unrelated third party. Key details include:

• Sale Consideration: Approximately US\$6.6 million (S\$8.5 million), negotiated on a willing-buyer, willing-seller basis.
• Valuation Premium: The sale price is 10% above the independent market valuation (US\$6.0 million / S\$7.7 million as at 1 September 2025), and 16% higher than the original purchase price (US\$5.7 million / S\$7.8 million in 2019).
• Valuation Process: The valuation was jointly commissioned by the Manager and HSBC Institutional Trust Services (Singapore) Limited, and performed by JLL Value & Risk Advisory using cost, sales comparison, and income approaches.

This premium divestment signals strong asset management capabilities and capital recycling discipline, potentially supporting future distribution growth and portfolio optimization.

Portfolio Composition Post-Transaction

Following these transactions, CLAR’s portfolio comprises 226 properties:

• Singapore: 96 properties
• Australia: 33 properties
• United States: 48 properties
• United Kingdom/Europe: 49 properties

This diversified international footprint continues to provide resilience and growth opportunities for CLAR.

Investor Considerations and Potential Price Sensitivity

• Accretive Singapore Acquisition: The scale and quality of the S\$565.8 million acquisition may positively impact distributable income, asset quality, and long-term growth. This could be price sensitive as it may affect both NAV and future DPU.
• Profitable US Divestment: Exiting the US asset at a premium could enhance capital recycling efficiency, improve portfolio returns, and provide flexibility for future investments or distribution increases.
• Portfolio Rebalancing: The shift in portfolio composition, with a strengthened Singapore base and disciplined exits from non-core geographies, may be viewed favorably by investors seeking stability and income growth.
• Currency Impact: All US Dollar to Singapore Dollar conversions were made using an illustrative exchange rate of US\$1.00000 : S\$1.28296, except for the original US purchase price in 2019.

Important Notices

The past performance of CLAR is not indicative of future performance. The value of the units and income derived from them may fall as well as rise. Units are not obligations of, deposits in, or guaranteed by CapitaLand Ascendas REIT Management or any of its affiliates. Investors have no right to request that the Manager redeem or purchase their units while listed on SGX-ST. This article is for information only and does not constitute an invitation or offer to acquire, purchase, or subscribe for the units.

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