REITs are once again the talk of the town.
UI Boustead REIT’s listing is an important flash point in the market, as it offers exposure to both Singapore and Japan.
What’s more, 70% of its tenants are in the ‘high-tech’ industries that many countries are looking to attract!
Here are 7 things to know about the UI Boustead REIT IPO.
✦ MAIN SECTION ✦
1. What the Company is About?
UI Boustead REIT is a real estate investment trust focusing on logistics, industrial, and business space, with properties in Singapore and Japan.
Put simply, they rent out their properties and space to companies. They maintain the properties and keep their clients happy, so that they will renew their lease when they expire - preferably at higher rents.
UI REIT’s tenants are mostly from ‘High-tech, value-add, and innovative sectors’. In laymen’s term, it just means that they are in the electrical & electronics, information technology (IT), automotive, aerospace, life sciences, and other technology-related sectors. 70% of its tenants are in these categories.
Source: UI REIT Prospectus
The REIT is targeting to have 70% of its properties in Singapore, with the remaining 30% in Japan.
What does this tell us? UI REIT’s outlook will depend on
The economic conditions in Singapore and Japan
Broad real estate sector trends
Factors that will affect global trade (geopolitical, markets, etc)
We will cover these industries’ outlook later. For now, it’s important to keep in mind of UI REIT’s sponsor.
A sponsor is typically the main property development company. And because holding properties on a regular company’s balance sheet incurs costs, many of them will spin off a REIT that specialises to hold them.
The sponsor for UI REIT is UIB, which was formed through United Industrial purchasing Boustead’s fund and property management in 2025.
UI REIT has the first right of refusal to purchase UIB’s pipeline of properties, that could give it a regular supply of high quality properties.
UI REIT’s outlook will depend on how well UIB develops its properties, and in which location.
2. What are the Details of its IPO?
UI REIT is trying to raise about SG$1.2 billion from the market, while also obtaining about SG$0.8 billion from its debt facilities.
UI REIT will be utilising SG$2.0 billion from the proceeds to
$1.9 billion: Purchase 23 properties to be held under the REIT (21 leasehold properties in Singapore, 2 freehold properties in Japan).
$40.6 million: Payment for refundable consumption tax
$37 million: Listing expenses
$43.4 million: Transaction costs (Transfer of properties)
$19.7 million: Working capital and cash reserves
Let’s have a deeper look into what kind of properties are being purchased here.
UI REIT is aiming for a 70-30 mix in terms of its geographic location - 70% in Singapore and 30% in Japan.
In Singapore, it will purchase 21 properties. Here is a list of the 5 main ones.
ALICE @ Mediapolis
11 Seletar Aerospace Link
Rolls-Royce Solutions Asia
31 Tuas Avenue 10
AUMOVIO Phase 1, 2 and 3
Meanwhile, in Japan, the two properties that UI REIT will buy:
UIB Konan Phase 1
Toyo MK Fuso Building
3. How is its Financial Performance?
Financial performance has been decent for UI REIT. It doesn’t exhibit the steep growth that many growth start-ups do, but show what a REIT should growth by.
Take note that these financial results are unaudited as it is a combination of the various properties revenue and profits that will be combined into the REIT.
From 2023 to 2025, revenue grew at an average annual rate of 2.2%. Meanwhile, revenue growth was at 9.3% for the 1H 2026 (March - September 2025).
On the other hand, profits have instead more than doubled from SG$36.5 million in 2023 to SG$74.6 million in 2025. While this is great, this was heavily influenced by the changes in its property valuation over the years.
The reason why profits doubled was because the properties declared lower valuation losses in 2025.
