Mapletree Industrial Trust buys US data centre for as much as US$262m and other APAC REIT news

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Singapore-listed Mapletree Industrial Trust has agreed to buy a data centre in the US state of Virginia for as much as US$262.1m. 

The property is fully leased on a triple net basis with a balance lease term of more than five years to a multinational company with strong credit standing. 

The S-REIT said the purchase price would be between US$200.6m and US$262.1m, with the deal closing in the first quarter of next year. 

The deal is part of MIT’s strategic expansion into the data centre market, with North American data centres accounting for almost 35% of its entire portfolio by assets under management.

“The COVID-19 pandemic has provided favourable tailwinds for the data centre segment,” the company said. “There has been strong leasing demand for data centre space from content, social media, e-payment, software-as-a-service and other information technology firms during the pandemic.” 

MIT shares closed 0.96% higher at S$3.15 on Monday. 

Index Change Value at close
S&P/ASX 200 A-REIT -0.23% 1,274.30
S&P/ASX 200 +0.68% 5,899.50
FTSE ST REITS +0.47% 849.01
STI -0.30% 2,482.55
Tokyo Stock Exchange REIT +0.18% 1,697.45
Nikkei 225 +0.65% 23,559.30
Hang Seng REIT +0.46% 5,614.77
Hang Seng +0.56% 24,640.28

Keppel REIT snaps up Sydney office for A$306m

SGX-listed Keppel REIT has acquired the Pinnacle Office Park in Sydney for A$306m, reflecting an  initial net property income yield of 5.25%. 

The Grade A complex features 35,132 sq.m. of net lettable area across three office buildings within Macquarie Park, which is the second largest office market in New South Wales. 

The property has a committed occupancy of 96.3%, with key tenants including ASX-listed Aristocrat Technologies, Konica Minolta and Coles Supermarkets. 

The deal is scheduled to close in 4Q 2020, and will grow assets under management to S$8.2bn.

“In the wake of COVID-19, we believe demand in Australia for quality and well-networked metropolitan locations, such as Macquarie Park, will increase as more companies seek cost-effective solutions or adopt a hub-and-spoke business model for office locations,” said Paul Tham, CEO of the REIT’s manager.

“The acquisition of Pinnacle Office Park allows Keppel REIT to gain exposure to this key metropolitan office market.”

Shares in Keppel REIT finished trading 0.93% higher at S$1.08 on Monday.

Ascendas REIT completes A$106m Melbourne office deal 

Singapore’s Ascendas REIT has completed its A$105.8m acquisition of a Melbourne suburban office building. 

The asset at 254 Wellington Road is currently leased to Nissan Motor, which occupies 65.2% of the property on a 10-year lease.

The building is on track to achieve the 5 Star Green Star Design and As Built and 5 Star NABERS energy ratings. 

Following the deal, Ascendas REIT will own 96 properties in Singapore, 36 properties in Australia, 38 properties in the United Kingdom and 28 properties in the US.