KUALA LUMPUR: AmanahRaya Real Estate Investment Trust (AmanahRaya REIT) intends to maintain its focus on acquiring wellness centers, industrial properties, especially those in logistics, and educational assets.

Managing director Tunku Rozita Tunku Abdul Malek emphasised the company's dedication to expanding its portfolio with top-tier investments.

In alignment with its strategy to enhance portfolio performance, AmanahRaya REIT has announced its decision to divest entirely from the hospitality sector. This move reflects the company's ongoing efforts to optimise its portfolio by acquiring high-yielding assets while divesting non-core strategic holdings.

While carefully considering various proposals, Tunku Rozita underscored that the company prioritises acquisitions that significantly contribute to its earnings and overall yield.

"We are prepared to seize attractive opportunities that can drive our earnings growth," she said in a statement issued after the company's annual general meeting yesterday.

AmanahRaya REIT's current portfolio comprises 11 properties, including the educational assets of SEGi University Kota Damansara, SEGi College Subang Jaya and Help University campuses. The portfolio also encompasses a variety of properties in the industrial, retail, and hospitality sectors.

It aims to achieve up to 90 per cent of its portfolio occupancy rate by the financial year ending December 31, 2025 (FY25), according to Tunku Rozita.

She said that the target reflects AmanahRaya REIT's commitment to maximising value for unitholders and strengthening its position as a listed REIT on Bursa Malaysia.

Tunku Rozita said the increase in occupancy rates for Vista Tower is poised to significantly bolster the earnings potential for AmanahRaya REIT.

"We aim to achieve at least 90 per cent occupancy rates for the fund's portfolio by the financial year ending 2025. Currently, we are in active discussions with numerous potential tenants, and the outlook is quite promising.

"Being the largest asset within the portfolio, we anticipate that the occupancy rate for Vista Tower will reach 60 per cent by July 2024, up from 35 per cent at the end of FY2023, primarily due to the influx of new tenants," she said.

Looking ahead, Tunku Rozita said the REIT is confident that the current positive trend will continue throughout FY2024, with the potential to reach at least 70 per cent occupancy rates.

"The new leases we are securing have tenures ranging from two to three years, providing stability, and contributing to our long-term growth strategy,"  she said.

https://www.nst.com.my/business/corporate/2024/04/1039854/focus-wellness-centres-industrial-properties-and-educational