Ascendas Funds Management has acquired a 25% equity stake in the holding entity for Galaxis, a business park in the Fusionpolis precinct of Singapore for S$102.9m (€65.4m).

The Singapore company made the purchase on behalf of Ascendas REIT from Mitsui & Co’s subsidiary MBK Real Estate Asia.

The remaining 75% equity stake is held by a subsidiary of CapitaLand, the parent and sponsor of Ascendas REIT.

Ascendas partnered with Mitsui to develop Galaxis in 2010 and has since gone on to develop several other projects, including the billion-dollar office redevelopment at 77 Robinson Road in Singapore, and a larger Chinese commercial project in Shanghai.

Galaxis, completed in 2015, comprises a 17-storey building with business park and office space, a two-storey retail, food and beverage podium and a five-storey building with work lofts.

William Tay, executive director and chief executive officer of the Manager, said: “The acquisition of the 25% stake in Galaxis is accretive to Ascendas REIT’s distribution per unit and is transacted at an attractive net property income yield of 6.2%.”

Ascendas REIT has funded the acquisition with a combination of debt and internal resources.