SINGAPORE (May 15): The manager of AIMS APAC REIT (AA REIT) announced it is acquiring Boardriders APAC HQ in Queensland, Australia, from GSM Rocket Australia for a consideration of A$38.5 million ($36.9 million).
The property is acquired with a headline yield of 7.8%, a lease term of 12 years and annual rental escalation of 3.0%. The headline yield is derived from the first year net property income of A$3 million over the consideration.
The property will be leased to GSM (Operations) for 12 years on a triple net lease basis with stipulated annual rent increments and a rent review at mid-term of the lease. The tenant also has an option to renew the lease for another five years.