MLT to acquire Japan logistics centre for $272.5m

The company aims to fill the market gap of grade A logistic properties in Japan.

Sazanka Tokutei Mokuteki Kaisha, Mapletree Logistics Trust’s (MLT) indirect wholly-owned subsidiary in Japan, has entered into a conditional trust beneficial interest sale and purchase agreement with Ajisai TMK to acquire the trust beneficial interest of Mapletree Kobe Logistics Centre for approximately $272.5m (¥22.2b), according to its bourse filing.

Once completed, MLT will own 98.47% interest in the property. The company said that the acquisition is in line with its plans to leverage the limited supply of Grade A logistics properties in Japan.

The property is also expected to provide a NPI yield of 4% and be distribution per unit (DPU) accretive to the firm’s unitholders.

The logistics centre was recently completed in April 2019 and has a gross floor area of 102,119 sqm. The property is also said to be 99.7% leased to a high-quality tenant base.

The Kobe property is the latest addition to MLT’s existing platform in Japan, where it currently has 16 logistics facilities, mostly located in the greater Tokyo area.