Digital Core REIT has issued a notice to acquire a further interest of between 0.2% and 40% in the freehold data centre property located at Wilhelm-Fay-Straße 15 and 24 in Frankfurt, Germany.
The REIT, through its subsidiary Singapore Sub 5, currently holds a 49.9% interest in the Frankfurt facility.
The total acquisition cost is estimated to be between approximately US$1.1 million ($1.43 million) and US$213 million.
The REIT manager will make a subsequent announcement on the actual amount of the interest to be acquired in the Frankfurt facility, taking into account prevailing market conditions.
Based on current market conditions, the manager expects to acquire an interest of approximately 10% in the facility.
The proposed acquisition is expected to be approximately 1.7% accretive to Digital Core REIT’s annual distribution per unit at the 10% acquisition amount.
Units in Digital Core REIT closed at an unchanged 59 US cents on September 6.
