Mapletree Logistics Trust divests 119 Neythal Road warehouse for $13.8m

The company will complete the divestment by 2Q FY24/25.

Mapletree Logistics Trust (MLT) divested the 119 Neythal Road warehouse for $13.8m to rejuvenate its portfolio through selective divestments.

The property has a five-storey cargo lift warehouse and a single-storey detached factory building, with a net lettable area of approximately 11,188 sq m and a remaining land lease of 15 years.

The sale price of $13.8m represents a 34.0% increase over the latest valuation of $10.3m as of 31 March.

JTC Corporation has granted in-principle approval for the transaction subject to the parties complying with the stipulated conditions.

MLT will sell the property to an unnamed, unrelated third party. It will use proceeds from the divestment to pursue investment opportunities in high-specification, modern logistics facilities with higher growth potential.

The divestment, set to be completed by 2Q FY24/25, will not have a material impact on MLT’s net asset value and net property income for FY24/25.

Following the divestment, MLT’s portfolio will consist of 185 properties.