The manager of Mapletree Logistics Trust M44U (MLT) has announced that the trust’s trustee, HSBC Institutional Trust Services (Singapore) Limited, entered into sale and purchase agreements with a third-party buyer to divest its Toki Centre and Aichi Miyoshi M03 Centre properties in Japan.
The divestment, which has been completed, had a sale consideration of JPY4,250 million ($37.5 million).
According to the trust, the divestments are in line with the manager’s efforts to “rejuvenate” its portfolio through selective divestments. Capital from the divestments are expected to provide MLT with greater financial flexibility to pursue investment opportunities in high specification, modern logistics facilities with higher growth potential, adds the trust.
Toki Centre comprises a two-storey warehouse with a net lettable area (NLA) of 16,545 sqm and building age of approximately 16.8 years. Its sale price of JPY2,425 million is 9.2% above its latest valuation of JPY2,220 million as at Oct 31.
Meanwhile, Aichi Miyoshi Centre comprises a four-storey warehouse with a NLA of 6,723 sqm, and is approximately 17.7 years old. The sale price of JPY1,825 million is 7.4% above the latest valuation of JPY1,700 million as at Oct 31.
The divestments are not expected to have a material impact on MLT’s net property income for FY2025. Following the Divestment, MLT’s portfolio stood at 183 properties, with an assets under management value of $13.3 billion.
See also: Changes in ICR, leverage to come into effect immediately, with additional disclosures in March
Units in MLT closed flat at $1.28 on Nov 27.
