Mapletree Industrial Trust - UOB Kay Hian 2023-10-09: Expansion In Japan Supported By Asset Cycling In Singapore

• Mapletree Industrial Trust has successfully expanded to Japan’s data centre market. It plans to recycle assets in Singapore through divestment of business park and light industrial buildings to finance the enlargement of scale in Japan.
• - Read this at SGinvestors.io -

Strategic diversification to Japan’s data centre market.

• Mapletree Industrial Trust (SGX:ME8U) is acquiring an effective interest of 98.5% in a newly-built data centre in Osaka, Japan for ¥52.0b (S$507.9m).
  • The multi-storey data centre is in close proximity to the prime central business district in downtown Osaka. Japan will account for 5.5% of its portfolio valuation after the acquisition.
  • - Read this at SGinvestors.io -
  • The fully-fitted data centre is fully leased to an established data centre operator with a weighted average lease to expiry (WALE) of 20 years.
• Mapletree Industrial Trust’s portfolio WALE weighted by gross rental income is expected to increase from 3.9 years to 4.5 years. The property has NLA of 136,900sf and a 70-year land lease commencing from 1 Oct 20.

On the lookout for acquisition of data centres.

• Read more at SGinvestors.io.

Jonathan KOH CFA UOB Kay Hian Research | https://research.uobkayhian.com/ 2023-10-09 SGinvestors.io

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