Mapletree Logistics to divest 4-storey cargo lift warehouse for $16.8m

The divestment is set to be completed in FY23/24.

Mapletree Logistics Trust (MLT) announced the proposed divestment of its 73 Tuas South Avenue 1 property to an unrelated third party for $16.8m.

The property is a 22-year-old four-storey cargo lift warehouse with a net lettable area of approximately 10,967 sq m. The sale price of $16.8m is 10.5% above the latest valuation of $15.2m as of 1 January 2024. 

The proposed divestment is expected to be completed by FY23/24 and is aimed to rejuvenate MLT’s portfolio.

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The capital from the divestment will provide MLT with the funds to pursue investment opportunities in high-specification, modern logistics facilities with higher growth potential. 

The divestment will leave MLT’s portfolio with 185 properties and is not expected to have a material impact on MLT’s net asset value and net property income for FY23/24.

HSBC Institutional Trust Services (Singapore), in its capacity as Mapletree Logistics' trustee, signed a share purchase agreement with a third party for the proposed divestment.