Prospect REIT Management Co., Ltd., the manager of the Prospect Logistics and Industrial Real Estate Investment Trust, or “PROSPECT REIT,” has announced its fourth additional investment of 970 million baht in the Bangkok Free Trade Zone 6 (BFTZ 6) project located on Bangna-Trad Road, Km 19, Samut Prakan Province. This investment aligns with the plan and involves a high-quality warehouse and factory rental project developed by Prospect Development Co., Ltd. (PD) as the main sponsor. The total rental area is 50,748 square meters, ready to generate income from fully leased properties, resulting in stable and continuous revenue for PROSPECT REIT while maintaining good returns for unit holders in the long term. The company aims to invest further in new potential projects to expand the total asset value beyond 10 billion baht.

This investment is in the form of a long-term leasehold of land not exceeding 29 years and ownership of the factory and warehouse buildings. The BFTZ 6 project is located in a prime area of Samut Prakan, comprising a total rental area of 50,748 square meters. It is a newly constructed project with an average age of 1 year, situated in a purple zone suitable for factory and warehouse operations. The main tenants are leading industrial operators, including those in the materials, machinery, electronics, automotive parts, transportation, and logistics sectors, with most tenants being from China, the USA, and Thailand.

Ms. Oranong Chaitong, Chief Executive Officer of Prospect REIT Management Co., Ltd., as the trust manager, stated, “The recent investment in the BFTZ 6 project on Bangna-Trad Road, Km 19, reflects the trust's strategy, focusing on investing in high-quality assets with strong and sustainable growth potential. Key factors include a high occupancy rate, prime location in the industrial and logistics zone, and efficient management systems. These factors contribute to PROSPECT REIT's stable and sustainable income sources while continuously seeking growth opportunities through investments in other high-quality warehouse and factory projects.”

After this additional investment, PROSPECT REIT's total asset value will increase to over 9.8 billion baht, with a total rental area under management exceeding 564,758 square meters, covering five warehouse and factory rental projects: BFTZ 1, BFTZ 2, BFTZ 3, X44, and BFTZ 6. Most tenants operate in factory-type buildings with long-term leasing trends and benefit from the Free Zone, attracting tenants engaged in import-export businesses, including leading tenants from various industries. The strategic location has consistently kept PROSPECT REIT's average occupancy rate high.

In the first six months of 2023, PROSPECT REIT reported total revenue of 323.19 million baht, a 9% increase from the same period last year, distributing a total of 0.3950 baht per unit to unit holders, resulting in an annualized yield of 10.97% (based on the closing price at the end of Q2 2023). To enhance income sources and provide consistent returns to unit holders, PROSPECT REIT plans to proceed with its fifth additional investment in the Bangkok Free Trade Zone 4 (BFTZ 4) project in Bang Pakong, Chachoengsao Province, with a total rental area of approximately 187,949 square meters and a total value not exceeding 5,040 million baht. A meeting of trust unit holders is scheduled for November 3, 2023, to approve the fifth additional investment and consider the third capital increase of PROSPECT REIT.