The divestment is not expected to have a material impact on the trust’s net asset value and net property income for FY2025/2026
THE trustee of Mapletree Logistics Trust (MLT) is proposing to sell a warehouse and office building at 1 Genting Lane in Singapore for S$12.3 million.
HSBC Institutional Trust Services has inked a purchase agreement with an unrelated third party for the proposed divestment. The entity has not been disclosed.
JTC Corporation, the government agency responsible for industrial development, has also granted in-principle approval for the transaction, MLT’s manager said in a bourse filing on Monday (Dec 16).
The sale price of S$12.3 million is 35.2 per cent above the latest valuation of S$9.1 million, as at Oct 1, 2024.
The industrial property has a net lettable area of approximately 6,050 square metres (sq m) on a land site of around 3,372 sq m.
“The proposed divestment is in line with the manager’s efforts to rejuvenate its portfolio through selective divestments of assets that are no longer aligned with its strategy,” MLT’s manager said.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
“Capital released from the divestment will provide MLT with greater financial flexibility to pursue investment opportunities in high-specification, modern logistics facilities with higher growth potential.”
The proposed divestment is expected to be completed by the first quarter of the 2025/2026 financial year.
It is not expected to have a material impact on MLT’s net asset value and net property income for that fiscal year. Following the divestment, MLT’s portfolio will consist of 179 properties, according to the filing.
Units of MLT declined 0.8 per cent or S$0.01 to close at S$1.26 on Monday.
Copyright SPH Media. All rights reserved.
