Kingston Properties Limited (KPREIT) has acquired eight warehouse units valued at just under US$2 million in the Cayman Islands’ industrial belt.
In note to the Jamaica Stock Exchange, KPREIT said the units are located in the Rosedale Warehouse Complex and are fully tenanted.
“The purchase was for a consideration of CI$1.6 million (US$1.95 million). The property maintains a solid tenant base comprised of companies engaged in the construction and distribution industries,” the company said.
“Our core investment strategy for this rights offer will be focused on office and warehouse properties in Jamaica and in the Cayman Islands.”Chairman of Kingston Properties, Garfield Sinclair
The acquisition marks the second such purchase by KPREIT in the Cayman Islands and is part of its “strategy to continue to broaden our geographic reach as well as diversify the mix of property types in our portfolio,” it said adding that the country’s economy is projected to grow between three and four per cent each year for the next two years.
In the prospectus for a rights issue in November, Chairman of KPREIT, Garfield Sinclair, said “Our core investment strategy for this rights offer will be focused on office and warehouse properties in Jamaica and in the Cayman Islands. We believe that our experience in these markets and investing in these asset sub-classes will provide us with the best medium to long term risk adjusted returns.”
KPREIT also owns a fully tenanted, mixed-use building in the West Bay Beach South area in the Cayman Islands. The building comprises of offices, retail outlets and residences along the Seven Mile Beach area of George Town.