Centurion Accommodation REIT Announces Completion of Epiisod Macquarie Park Acquisition

Key Highlights for Investors

• Centurion Accommodation REIT (the “REIT”) has successfully completed the acquisition of Epiisod Macquarie Park, a purpose-built student accommodation (PBSA) asset in Australia.
• The acquisition follows the property’s practical completion and the fulfilment of key contractual conditions, including the execution of the Epiisod Macquarie Park Master Lease with the appointed Master Tenant.
• Centurion Australia Management Pty Ltd has been appointed as the property manager for this asset, under the Australia PBSA Property Management Agreement.
• The acquisition was fully funded by the REIT’s committed debt facilities—not from the proceeds raised via its initial public offering (IPO).
• This transaction aligns with the REIT’s stated strategy in its Prospectus to expand its portfolio in the PBSA sector, particularly in Australia.

Detailed Report

Centurion Asset Management Pte. Ltd., acting as the manager of Centurion Accommodation REIT, has officially announced that practical completion of the Epiisod Macquarie Park development has been achieved. This milestone triggered the formal acquisition of the property under the Forward Purchase Agreement, as outlined in the REIT’s Prospectus.

The acquisition was subject to the Master Lease for Epiisod Macquarie Park being entered into with the designated Master Tenant. This condition has now been met, and the lease is in effect. The property will be managed by Centurion Australia Management Pty Ltd, a move expected to ensure high operational standards and optimal asset performance.

Notably, the acquisition did not utilize IPO proceeds but was instead financed through the REIT’s pre-arranged debt facilities. This strategic funding decision preserves the capital raised from the IPO for future growth opportunities or other corporate purposes, which may be a positive indicator for prudent capital management.

The addition of Epiisod Macquarie Park is expected to enhance the REIT’s asset base, diversify its geographical exposure, and potentially strengthen its recurring income streams. The property is a newly completed PBSA asset, which aligns with the REIT’s focus on the student accommodation market—a sector that continues to show resilience and demand.

Potential Impact on Shareholders and Unit Price

• Completion of the acquisition is a positive milestone, demonstrating the REIT’s ability to execute on its growth pipeline and deliver on commitments made during the IPO.
• The successful funding of the acquisition via debt, rather than diluting shareholders through new equity issuance, may be viewed favourably by existing investors.
• The operational commencement of a new PBSA property in a sought-after market like Macquarie Park, Australia, may enhance the REIT’s income stability and overall portfolio value, potentially impacting future distributions and share price performance.
• Any delays, operational challenges, or changes in the Australian student accommodation market could still influence the actual performance of the asset and, by extension, the REIT’s financial results.

Important Notices for Investors

Investors should note that the value of REIT units and the income derived from them may fluctuate. The units are not guaranteed by the REIT, its manager, trustee, sponsor, or underwriters. Trading of units is limited to transactions on the Singapore Exchange Securities Trading Limited (SGX-ST). The listing does not assure a liquid market for the units.

This announcement may include forward-looking statements based on current expectations and assumptions. Actual results could materially differ due to various risks and uncertainties. Prospective investors should not place undue reliance on these statements and are advised to review the full Prospectus and consult their financial advisors.

Disclaimer: This article is for informational purposes only and does not constitute an offer or solicitation to buy or sell any securities. Investors should exercise due diligence and consult professional advisors before making investment decisions. Past performance is not indicative of future results.

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