Mapletree Logistics Trust to acquire Hong Kong warehouse for $834.8 mil

Mapletree Logistics Trust to acquire Hong Kong warehouse for $834.8 mil

By: 
PC Lee
28/08/17, 10:13 pm

SINGAPORE (Aug 28): Mapletree Logistics Trust is acquiring Mapletree Logistics Hub Tsing Yi in Hong Kong for HK$4.8 billion ($834.8 million), the trust manager said in a Monday announcement.

The seller is Mapletree Overseas Holdings, a wholly owned subsidiary of Mapletree Investments.

Mapletree Logistics Hub Tsing Yi is an 11-storey modern ramp-up warehouse with a net lettable area of 148,065 sqm. Located at Tsing Yi, the property is in close proximity to the Kwai Chung-Tsing Yi container terminals, and is also well connected by highways to the city centre, the Hong Kong International Airport and Mainland China.

As one of only 14 modern warehouses in Hong Kong, the property enjoys 100% committed occupancy. It is leased to 12 high quality and reputable tenants, including Ever Gain, adidas, HKTV and DKSH.

Ng Kiat, CEO of the manager, says, “This acquisition will increase our net lettable area in Hong Kong by more than 70% to 3.8 million square feet, and strengthen MLT’s position as a major player to meet the growing logistics demand in Hong Kong.”

“With its prime logistics location, modern specifications and 100% committed occupancy with quality tenants, this acquisition will enhance MLT’s income and tenant diversification. It is also expected to provide a NPI yield of 5.7% and be DPU accretive to our unitholders,” adds Ng.

Following the acquisition, Hong Kong will become the second largest income contributor to MLT accounting for 27% of its NPI, up from 17% previously.

The manager intends to fund the acquisition with a combination of equity and debt.

The acquisition is subject to approval by unitholders at an extraordinary general meeting to be held on Sept 13.

Units of MLT closed 0.5 cent higher at $1.195 on Monday.

CapitaLand said to be acquiring Star Harbour International Center project in Shanghai for $2.5 bil

SINGAPORE (Oct 17): CapitaLand is said to be investing about RMB 12.79 billion ($2.54 billion) to acquire the Star Harbour International Center project in Hongkou, Shanghai, according to real estate online portal Mingtiandi. The group is said to be acquiring its most expensive real estate project yet in China from Shanghai Port Group, after the state-run developer announced on last Friday that it is planning to sell the property. CapitaLand has yet to make a statement regarding the acquisition. When The Edge Singapore reached out to CapitaLand for comments, the group said the tender h....
Read More >>

Few have made it where Tung Lok now treads: SAC

SINGAPORE (Oct 17): Since its founding in 1984, Tung Lok Restaurants (2000) has made a name for itself in the local F&B scene. From serving gourmet Chinese cuisine in its flagship Tung Lok Restaurant, it is now engaging the tastebuds of a younger generation and licensing its brands overseas. As at end March, Tung Lok operates as 43 F&B outlets with 24 directly owned, eight held by associates and 11 others under management. These are located in Indonesia, Japan, China, Vietnam and, of course, Singapore. The group’s operations can be segmented into three categories: restaurateur,....
Read More >>

Analysts put SPH on 'hold', but is the end of its earnings decline in sight?

SINGAPORE (Oct 17): Analysts across three brokerages – UOB Kay Hian, OCBC Investment Research, and CGS-CIMB Research – have “hold” recommendations on Singapore Press Holdings (SPH), as the group performed below expectations for FY18. SPH saw its full-year earnings fall 19.7% to $281.1 million for the FY18 ended August, from $350.1 million a year ago. However, this was mainly attributable to the absence of a one-off gain of $149.7 million a year ago from the divestment of a joint venture. FY18 operating revenue fell by 4.8% to $982.6 million, from $1.03 billion a year ago. See:....
Read More >>
Stars align for US banks to shine

(Oct 15): A decade after the global financial crisis, the landscape of the US financial services ind