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Mapletree Logistics Trust (MLT) has agreed to acquire five warehouses in Singapore for a total of $778.3 million, according to an SGX filing on Thursday (5 July).
The amount consists of $730 million in purchase consideration, taking into account Colliers International’s $755.2 million valuation for the facilities as of 27 June, in addition to about $48.3 million in upfront land premium payable to JTC Corporation.
With a combined gross floor area (GFA) of around 3.21 million sq ft, the properties are being acquired from CWT Pte Ltd and its subsidiaries via a sale-and-leaseback arrangement and these have a weighted average age of 4.8 years by net lettable area.
These comprise a temperature-controlled food warehouse with a GFA of 751,434 sq ft in 6 Fishery Port Road costing $244 million, as well as a chemical & ambient warehouse (846,303 sq ft) in 52 Tanjong Penjur valued at $179 million.
Another is an ambient warehouse (600,301 sq ft) priced at $115 million at 5A Toh Guan Road East. The last two are both chemical & ambient warehouses measuring 375,230 sq ft and 638,777 sq ft that cost $75 million and $117 million respectively.
“The properties are modern ramp-up warehouses with good specifications, such as floor loading of 20 to 50 kN psm and floor-to-ceiling height of nine to 14 metres,” said Mapletree Logistics Trust.
Accessible by major arterial road networks, these properties are near Jurong Port and PSA Terminals.
“This acquisition will strengthen MLT’s position as one of the largest modern specs warehouse space providers in Singapore. Total GFA of our Singapore portfolio will increase by almost 20 percent to over 20 million sq ft, allowing us to benefit from Singapore’s continued growth as a global logistics hub,” said Ng Kiat, CEO of Mapletree Logistics Trust Management.
The transaction is subject to the approval of JTC and the stockholders of CWT International, the holding company of the vendors.
Upon completion of the acquisitions by September, the value of MLT’s total assets under management will increase from around $6.5 billion as of 31 March to about $7.61 billion.
Romesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories, email romesh@propertyguru.com.sg
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