CBRE Singapore represented A3 Lux Alpha S.a.r.l for the sale of a five-storey ramp-up high quality multi-temperature controlled food storage and distribution centre at 1 Buroh Lane for S$191.9 million to Ascendas REIT.

With a total gross floor area of over 645,500 square feet, 1 Buroh Lane offers a full spectrum of chiller, freezer, air-conditioned and ambient storage spaces that caters to a diverse group of food distributors, importers and retailers. Strategically located within the Fishery Port food zone, the property benefits from its proximity to major ports such as Jurong Port, Tuas Mega Port, and Pasir Panjang Terminals. It is also easily accessible to other parts of Singapore via trunk roads and enjoys direct access to Ayer Rajah Expressway (AYE) and major arterial roads.

Mr. Rimon Ambarchi, Head of Industrial & Logistics, Singapore & Southeast Asia at CBRE, who brokered the deal, says, “By virtue of its excellent property specifications and its location within the Fishery Port Food Zone, 1 Buroh Lane consistently enjoys 100% building occupancy. This acquisition offers the buyer an immediate robust income stream, supported by a stellar tenant roster with long and stable leases.”

He adds, “In a time when food security is of growing critical importance, demand for food assets have accelerated in the last few years. However, the supply of high-quality accommodation for cold-storage and logistics remains very limited due to the high investment and expertise required to run these properties. Investment demand continues to grow for these assets as they are able to generate superior defensive cash flows due to the critical nature of its demand sectors and the high barriers of entry to the industry.”

To request a sales analysis please contact the selling agent Mr. Rimon Ambarchi, Head of Industrial & Logistics, Singapore & Southeast Asia at CBRE, via the below contact details.