Centurion Accommodation REIT Announces Completion of Epiisod Macquarie Park Acquisition

Key Highlights

• Completion of Acquisition: Centurion Accommodation REIT (“Centurion REIT”) has officially completed the acquisition of the Epiisod Macquarie Park property following its practical completion, as previously outlined in the registered prospectus.
• Forward Purchase Agreement: The acquisition was executed under a Forward Purchase Agreement, conditional upon the signing of the Epiisod Macquarie Park Master Lease with the designated Master Tenant.
• Master Lease Secured: The Epiisod Macquarie Park Master Lease has been entered into, securing long-term tenancy and providing confidence in projected rental income streams.
• Property Management: Centurion Australia Management Pty Ltd has been appointed as the Australia PBSA Property Manager to oversee the operations of the property under a dedicated Property Management Agreement.
• Funding Structure: Notably, the acquisition was fully funded through committed debt facilities of Centurion REIT, without any use of IPO proceeds. This preserves the liquidity raised during the IPO for other strategic initiatives.
• Timeline: The acquisition was announced by Tony Bin Hee Din, CEO of Centurion Asset Management Pte. Ltd., on 13 January 2026.

Implications for Shareholders

• Potential Impact on Share Value: The completion of the Epiisod Macquarie Park acquisition is a material event for Centurion REIT. It may be viewed positively by investors as it expands the REIT’s portfolio, potentially boosting recurring income and strengthening its market position in the purpose-built student accommodation (PBSA) sector in Australia.
• Debt-Funded Acquisition: The use of committed debt, rather than IPO proceeds, to fund the purchase may affect the REIT’s leverage ratios. Investors should monitor how this impacts future distributions and the REIT’s ability to finance further acquisitions.
• Master Lease Agreement: The Master Lease provides income visibility and stability, which is typically attractive for income-focused REIT investors. The specifics of the lease, such as rental escalation clauses or fixed terms, could influence financial performance.
• Management Structure: Appointment of an experienced property manager (Centurion Australia Management Pty Ltd) is expected to support operational efficiency and maximise asset value.
• IPO Proceeds Unaffected: As the acquisition did not use IPO funds, investors can expect the liquidity from the IPO to be available for future growth opportunities or distribution enhancements.

Investor Considerations and Risks

• Market Risks: The announcement includes forward-looking statements that are subject to market, economic, and operational risks. Actual results may differ from projections.
• Liquidity: The listing of REIT units on SGX-ST does not guarantee a liquid market. Investors may only trade units via the exchange.
• No Redemption Rights: Unit holders cannot request redemption or repurchase by the Manager while units are listed.
• Investment Risks: As with all REITs, there is a risk of capital loss and income fluctuation. Investors are advised to assess their own risk tolerance and investment horizon.

Conclusion

The completion of the acquisition of Epiisod Macquarie Park marks a significant milestone for Centurion Accommodation REIT. The strategic addition of a newly completed PBSA asset, backed by a secure master lease and managed by an experienced property manager, has the potential to enhance the REIT’s income stability and growth prospects. The debt-funded nature of the acquisition may affect leverage metrics, but preserves IPO capital for further expansion. This event is likely to be price sensitive and could influence investor sentiment and the REIT’s unit price in the near term.

Disclaimer: This article is provided for informational purposes only and does not constitute investment advice, an offer, or solicitation to buy or sell any securities. Investors should review the full Prospectus and consult their financial advisers before making any investment decisions. The value of investments and income from them may fall as well as rise. Past performance and forward-looking statements are not guarantees of future performance.

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