First Real Estate Investment Trust or First REIT said that it has terminated the option agreement to buy a property at Tuas View Lane from Tech-Link Storage Engineering.
The sale and leaseback deal was to be completed by end last year but the two parties were unable to agree on the purchase price and leaseback terms.
The option fee will be refunded to HSBC Institutional Trust Services as trustee of the Reit.
If the deal had gone through, it would be First REIT’s fifth Singapore property and would lift its assets by 13 per cent to S$368 million.
First REIT had intended to lease the 234,000 sq ft two-storey warehouse near Tuas Biomedical Park out to pharmaceutical and nutritional products multi-national companies.
Source : Channel NewsAsia – 5 Jan 2010