Property developer Soilbuild Group Holdings launched the initial public offering of its industrial space trust on Wednesday at 78 cents a unit, at the lower end of the indicated price range.

The Soilbuild Business Space Reit aims to raise gross proceeds of $626.7 million through the sale of 803.5 million units, according to a final prospectus lodged with the Monetary Authority of Singapore on Wednesday.

Soilbuild had previously set an indicative price range of 77 cents to 80 cents per unit for the real estate investment trust (Reit). Sources told Thomson Reuters news publication IFR that the books for institutional investors were covered three to four times.

Institutional investors have been allocated 524 million units, while the public tranche stands at 62.5 million units.

Separately, Soilbuild managing director and co-founder Lim Chap Huat has subscribed for an additional 216.9 million units.

The Reit will have an initial portfolio of seven business properties, comprising two business park developments and five other industrial properties.

Together, they have an aggregate gross floor area (GFA) of 3.23 million sq ft and net lettable area of 2.96 million sq ft.

The public offer opens at 6pm today and closes at noon on Aug 14. Trading is expected to commence two days later on Friday, Aug 16, at 2pm.