Revaluation of Investment Properties pursuant to Financial Reporting Standard 140
AXIS REAL ESTATE INVESTMENT TRUST |
Type | Announcement | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Subject | Revaluation of Investment Properties pursuant to Financial Reporting Standard 140 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contents | 1. INTRODUCTION The Board of Directors (“Board”) of Axis REIT Managers Berhad (“ARMB” or the “Manager”), the management company of Axis Real Estate Investment Trust (“Axis-REIT” or the “Fund”), wishes to announce that Axis-REIT has undertaken a revaluation exercise on the following properties: 1. Axis Business Park 2. Axis Plaza 3. Crystal Plaza 4. Infinite Centre 5. Kayangan Depot 6. Wisma Kemajuan 7. Menara Axis 8. Axis Shah Alam Distribution Centre 1 9. Giant Hypermarket 10. FCI 11. Nestle Office & Warehouse 12. Nestle House 13. Kompakar CRC HQ 14. Niro Warehouse 15. BMW Centre PTP 16. Delfi Warehouse 17. Axis Vista 18. Bukit Raja Distribution Centre hereinafter referred to as (“Revaluation”). 2. PURPOSE OF REVALUATION The purpose of the Revaluation was to ascertain the current market value of the abovementioned 18 investment properties for accounting purposes in line with the Financial Reporting Standard (“FRS”) 140. Under the fair value model of FRS 140, the fair value of the investment property shall reflect market conditions at the balance sheet date (i.e. the investment property is revalued every year). As Axis-REIT has adopted the fair value model stipulated in FRS 140, Axis-REIT will be required to conduct a yearly revaluation on all its real estate properties. The Revaluation is not subject to the approval of the Securities Commission (“SC”) but the valuation reports of all the abovementioned properties shall be deposited with the SC in accordance with the SC’s Guidelines on Real Estate Investment Trusts issued on 21 August 2008 (“SC’s Guidelines on REITs”). 3. REVALUATION SURPLUS/DEFICIT The details of the revaluation surplus/deficit are set out in the tabulation below. 4. EFFECTS ON THE NET ASSET VALUE The Revaluation represents an increase of 1.07% over the unaudited net book value of the abovementioned 18 properties of RM747,876,680 as at 31 December 2009 (before Revaluation). Based on the unaudited results as at 31 December 2009 (before Revaluation), the net asset value per unit of RM1.7661 will increase to RM1.7922 upon incorporation of the revaluation surplus of RM8,023,320. 5. DOCUMENTS AVAILABLE FOR INSPECTION The valuation reports in relation to the Revaluation are available for inspection at the: 5.1 Registered office of the Manager at Suite 11.1A, Level 11, Menara Weld, 76, Jalan Raja Chulan, 50200 Kuala Lumpur; and 5.2 Manager’s office at Suite 6.04 Penthouse, Wisma Academy, 4A Jalan 19/1, 46300 Petaling Jaya, Selangor during normal office hours from Monday to Friday (except public holidays) for a period of 3 months from the date of this announcement. This announcement is dated 20 January 2010. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Notes: * The valuations were done by Colliers, Jordan Lee & Jaafar Sdn Bhd, an independent firm of professional valuers. ** The valuations were done by CB Richard Ellies (Malaysia) Sdn Bhd, an independent firm of professional valuers. *** The Properties were valued by C H Williams Talhar & Wong Sdn Bhd, an independent firm of professional valuers ^^ The Properties were valued by PA International Property Consultants (KL) Sdn Bhd, an independent firm of professional valuers # The Property was valued by Raine & Horne International Zaki + Partners Sdn Bhd, an independent firm of professional valuers ## The Property was valued prior to its acquisition in accordance with Clause 10.10 of SC’s Guidelines on REITs. |
Announcement Info
Company Name | AXIS REAL ESTATE INVESTMENT TRUST |
Stock Name | AXREIT |
Date Announced | 20 Jan 2010 |
Category | General Announcement |
Reference No | CCS-100120-3B136 |