First REIT Seeks To Reduce Exposure To Indonesia To Less Than Half Of Its Portfolio
January 24, 2022 – First REIT is seeking to redirects its portfolio in the next three to five years, particularly by steering away from properties from Indonesia.
In a response to unitholder queries published recently, First REIT said their recent spate of proposed acqusitions marks the first steps to execute the First REIT 2.0 Growth Strategy, which, among others, targets to diversify into developed markets to reduce geographical and tenant concentration risk.
“The Manager aims to reduce its exposure in Indonesia to less than 50% of its total portfolio within the next three to five years,” First REIT said.
Instead, First REIT said it will seek to grow its geographical footprint within Japan and will provide an update to Unitholders as and when there are material developments.
Assuming Unitholders’ approval is obtained at the upcoming EGM and assuming the successful absorption of the Japan Nursing Homes into First REIT’s portfolio, First REIT will have gained an investment platform comprising 12 high-quality nursing homes within the attractive Japan nursing home market.
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