Sabana REIT, an industrial REIT announces the divestment of its industrial property at 200 Pandan Loop. The industrial property will be sold for $38 mil. In the announcement it was mentioned that the book value of the property stood at $44.9 mil. This property was added to Sabana during IPO at $41 mil.The last appraised value was mentioned to be $36.8 mil. The property is not coming to the end of the land lease. The land lease starts at 99 years from 1984 which means it has 68 years left which is more than the new industrial properties since under the new rules their land lease is shorten to 30 years. The reason given for the divestment was that the net property income yield of this property is underperforming and they are struggling to fill the 50% of the space. Sabana’s management tries to justify that the ......