Petaling Jaya, 6 November 2025 – Axis REIT Managers Berhad (“ARMB”), acting on behalf of Axis Real Estate Investment Trust (“Axis-REIT”), has announced its largest-ever acquisition, a RM800 million purchase of a freehold industrial property in Seberang Perai, Penang from Ann Joo Steel Berhad (“AJSB”), a wholly owned subsidiary of Ann Joo Resources Berhad (“AJRB”).
The acquisition, to be executed through a Sale and Purchase Agreement (SPA), marks a significant expansion milestone for Axis-REIT and further strengthens its industrial property portfolio in one of Malaysia’s most dynamic manufacturing corridors.
Largest Acquisition in Axis-REIT’s History
Upon completion, AJSB will lease back the property to Axis-REIT under an eight-year tenancy agreement at an initial monthly rental of RM4.16 million. The rental structure will be adjusted in line with phased space surrendering at the end of Year 5, Year 6, and Year 7, as stipulated under the forthcoming SPA.
The transaction underscores Axis-REIT’s ongoing strategy to enhance its industrial asset base through long-term, income-generating properties with stable tenants and strong connectivity.
“This acquisition marks an important milestone for Axis-REIT and underscores our focused strategy of acquiring strategic assets in prime locations,” said Leong Kit May, Chief Executive Officer and Executive Director of Axis REIT Managers Berhad.
“Prai Industrial Estate stands as one of Penang’s most established industrial hubs, hosting a diverse range of economic activities. With excellent connectivity to the port, railway system, and major highways, this addition strengthens our portfolio and increases our footprint in Penang.”
Strategic Location and Industrial Potential
The industrial property sits on 135.53 acres of freehold land within the Prai Industrial Estate, one of Penang’s most established industrial zones. The area offers direct access to Penang Port and major transportation arteries such as the North–South Expressway, linking it efficiently to Penang Island and key logistics networks across northern Malaysia.
The site’s large, contiguous land area and well-developed infrastructure make it ideal for logistics, manufacturing, and supply-chain operations, sectors seeing robust demand driven by nearshoring trends and Penang’s growing reputation as an industrial and semiconductor hub.
Strengthening Axis-REIT’s Industrial Portfolio
This acquisition reinforces Axis-REIT’s position as one of Malaysia’s leading industrial-focused real estate investment trusts, with a diversified portfolio spanning logistics, manufacturing, and warehouse assets across key economic regions.
The strategic partnership with Ann Joo Steel, one of Malaysia’s top steel producers, also ensures long-term tenancy stability, which is expected to deliver consistent income returns to unitholders.
Axis-REIT continues to seek value-accretive acquisitions in prime industrial corridors, particularly those aligned with Malaysia’s broader goals of enhancing logistics capacity and attracting foreign investment into high-tech and sustainable manufacturing sectors.
