Mapletree Logistics Trust Management, the first Asia-focused logistics REIT in Singapore, has agreed to acquire a newly-built freehold warehouse in Inala, Brisbane, Australia at a purchase price of A$21.25 ($14.6 million), according to a disclosure.
The acquisition is the company’s second logistics facility in Brisbane and will expand its footprint in Australia to a total of 11 assets with a combined gross floor area of 277,115 square meters.
The property is strategically located in Inala, an established industrial location, and is well connected to the Brisbane city centre, Brisbane Airport (35km) and the Port of Brisbane(40km) via key road infrastructure such as Boundary Road, Ipswich Motorway, Centenary Highway and Logan Motorway.
“With excellent connectivity to these major arterial routes, the property also provides access to the main population bases in Queensland,” the firm said.
Newly completed in May 2020, the property is designed with Grade A building specifications, including minimum clear height of 10 metres, floor loading capacity of 30kPaand is column-free.
It is also built with seven container height roller doors protected by an 8metresdeep awning and over 100metresof side-loading dock that is ideal for trailer trucks, and is also equipped with an ESFR system.
Comprising a single-storey ambient warehouse with annexed office and showroom, the Property has a total gross floor area of about 9,050 sqm sited on freehold land of approximately 18,801 sqm.
The Property has been valued at A$21.25 million by Jones Lang LaSalle Australia Pty Limited as at 14 May 2020based on the market capitalisation and discounted cash flow methods.
The acquisition is expected to generate an initial NPI yield of 5.4%. It is also expected to be accretive at the distribution level. Transaction-related costs are estimated at up toA$1.75million.
Mapletree Logistics Trust Management’s principal strategy is to invest in a diversified portfolio of income-producing logistics real estate and real estate-related assets.
As at 31 March 2020, it has a portfolio of 145 logistics assets in Singapore, Hong Kong SAR, Japan, Australia, China, Malaysia, South Korea, and Vietnam with assets under management of S$8.9billion.
The firm is managed by Mapletree Logistics Trust Management Ltd., a wholly-owned subsidiary of Mapletree Investments Pte Ltd. – BusinessNewsAsia.com