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The company aims to increase its assets to S$90 billion in that time span.
Mapletree Investments Pte could close S$10 billion worth of deals annually selling and buying properties as it moves to establish more private funds in the next five years, reported Bloomberg.
Group Chief Executive Officer Hiew Yoon Khong said that the company would rather raise funds for acquisitions through selling assets, instead of issuing bonds or using bank loans.
The company, owned by Temasek Holdings Pte, focuses on data centres, student accommodations, corporate housing, logistics and office space, having recently expanded to Europe and the US.
It also manages four Singapore-listed REITs including six private real estate funds.
Hiew wants to increase the assets managed to S$90 billion during the next five years, with the company planning to stay with existing asset classes instead of looking for new ones.
As of 31 March, Mapletree owns and manages $55.7 billion worth of properties.
He also revealed plans to list two real estate investment trusts which could be backed by overseas assets in logistics and student accommodation over the next four-to-five years. Each IPO could have a “sweet spot” of around $2 billion, he said.
“With our global footprint now, we are increasingly looking at the really big boys, the Brookfields and Blackstones. Whether it is profitability or operational benchmarks, we are now benchmarked to global companies.”
Hiew noted that Mapletree’s annual investment of $3 billion to $5 billion in new assets will be financed by divestments of equal size – which is the company’s strategy in recycling capital efficiently.
Mapletree has earlier announced its acquisition of an office building in Dublin. The group also acquired an office building in Warsaw in May.
It also mulls syndicating an office fund in Australia, where it has eight office properties and a corporate housing property in Brisbane.
On average, Mapletree plans to seed two new private funds each year over the next five years.
Victor Kang, Digital Content Specialist at PropertyGuru, edited this story. To contact him about this or other stories, email victorkang@propertyguru.com.sg
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