Mapletree Logistics Trust buys warehouse in Australia for $20.22m

This is the company’s second logistics facility in Brisbane.

Mapletree Logistics Trust (MLT) has entered into a conditional agreement for the acquisition of a freehold warehouse at 115 Rudd St in Inala, Brisbane, Australia for $20.22m (A$21.25m), according to an announcement.

The property marks as MLT’s second logistics facility in Brisbane. It is said to expand MLT’s footprint in Australia to a total of eleven assets with a combined floor area of 277,115 sqm.

The acquisition is expected to generate an initial net property income (NPI) yield of 5.4%. Transaction-related costs are estimated at up to $1.69m (A$1.75m), including stamp duty, professional advisory fees, and the acquisition fee payable of $205,079 (A$212,500).

This will be funded by debt and is expected to be completed by Q3 FY2021, subject to fulfilment of conditions including approval by the Australian Foreign Investment Review Board.

Upon completion, MLT’s aggregate leverage ratio is estimated to be approximately 39.4% whilst MLT’s portfolio will comprise 146 properties with a total value of assets under management of $8.97b.

The property is designed with grade A building specifications, equipped with an ESFR system. It comprises a single-storey ambient warehouse with annexed office and showroom, with a total gross floor area of about 9,050 sqm sited on freehold land of approximately 18,801 sqm.

The property is strategically located in Inala, an established industrial location, and is well connected to the Brisbane city centre, Brisbane Airport, and the Port of Brisbane.