www.smh.com.au

News Store Help

Update on proposed sale of two properties

Announced by: GJT
Announced on: 01/02/2013 10:43:05
          Words: 737
Status: Market sensitive (Y)
View original PDF
Galileo Japan Funds Management Limited
(ACN 121 567 244) (AFSL 305 429)
as Responsible Entity for Galileo Japan Trust
(ARSN 122 465 990)
Level 9,1Alfred Street
Sydney NSW 2000 Australia
GPO Box 4760 Sydney NSW 2001
Telephone: (02) 9240 0333
Facsimile: (02) 9240 0300
ASX Code: GJT
Website: www.galileofunds.com.au

1 February 2013

ASX / Media Release

GALILEO JAPAN TRUST
Update on proposed sale of two properties

Please find attached a Galileo Japan Trust (ASX code: GJT) announcement.

Investor and media enquiries:
Peter Murphy
Chief Operating Officer
Phone: +61 2 9240 0308


About Galileo Japan Trust

The Trust is listed on the Australian Securities Exchange with an indirect interest in a portfolio of 23
Japanese real estate investments valued at approximately 60.14 billion as at 30 June 2012
(approximately A$630 million)
1
. The portfolio is diversified by both sector and geography, however,
retains a bias to Tokyo.
Further information on Galileo Japan Trust is available at www.galileofunds.com.au
1
All JPY amounts in this release have been translated at AUDJPY 95.6 the exchange rate as at 1 February 2013


1 February 2013
GALILEO JAPAN TRUST
Update on proposed sale of two properties
Galileo Japan Funds Management Limited ("GJFML"), as responsible entity of Galileo Japan Trust
(ASX: GJT), provides the following update relating to the exchange of contracts to sell its beneficial
interest in Itabashi Belle Maison, Tokyo and Irifune Access, Tokyo by the Japanese TK business
(please refer to earlier announcement dated 17 December 2012).

After the contract for sale was exchanged in December 2012, the single tenant at Irifune Access
submitted a notice of lease cancellation, which will potentially result in the property being 100% vacant
from 1 July 2013. The contract for sale includes a provision allowing the purchaser to terminate the
contract in circumstances where there is a material adverse change to the property prior to settlement.
Galileo Japan KK ("GJKK") has been in ongoing discussions with the purchaser regarding the lease
cancellation notice. GJKK advises that at present it is not clear whether the purchaser will proceed with
the acquisition as previously announced. GJKK has also indicated that if the transaction does proceed it
is likely that some commercial terms may be modified to reflect the change in circumstances.

GJKK has advised that a leasing campaign for Irifune Access commenced immediately after receiving
the cancellation notice and they believe there are reasonable prospects of identifying replacement
tenant/s over the next six to nine months.

The transaction as previously announced would not result in any material impact on GJT's gearing ratio
or diluted net tangible assets. It was however, forecast to enhance the Japanese TK business operating
cash flow in CY2013. GJFML will provide a further update when discussions between GJKK and the
purchaser have been finalised.



END
 
Back  Back to Search Results