AmanahRaya REIT repossesses Wisma ELM after tenant vacates early

AmanahRaya Real Estate Investment Trust (ARREIT) has repossessed Wisma ELM in Damansara Heights, Kuala Lumpur, after its corporate tenant vacated prematurely. The affected tenancy accounts for about 7 per cent of the REIT's total portfolio gross annual rental income.

PETALING JAYA (Nov 11): AmanahRaya Real Estate Investment Trust (ARREIT) has repossessed Wisma ELM in Damansara Heights, Kuala Lumpur, after its corporate tenant vacated the premises prematurely, according to its manager. The affected tenancy accounts for about 7 per cent of the REIT's total portfolio gross annual rental income.

In a Bursa Malaysia filing on Tuesday (Nov 10), AmanahRaya-Kenedix REIT Managers Sdn Bhd said the trust formally re-entered and repossessed the premises that day. The lease agreement terminated upon re-entry.

ARREIT reserves all its rights under the agreement, including the right to recover outstanding rent and rent for the unexpired lease term, the manager said. The filing did not identify the tenant or disclose the outstanding rental amount or remaining lease period.

The manager said it would monitor the potential financial and operational impact, and seek to mitigate it by engaging prospective tenants, pursuing replacement leasing opportunities and optimising the use of the affected space. Wisma ELM is located at No. 15, Jalan Sri Semantan 1, Damansara Heights.

The manager said it would make further announcements should there be any material developments.