,Singapore

Mapletree Logistics Trust acquires South Korea facility for $154m

This is expected to raise MLT's e-commerce revenue exposure in S. Korea to 31%.

Mapletree Logistics Trust Management Ltd. announced that Mapletree Logistics Trust acquired the Yeoju Logistics Center in South Korea for around $154m (KRW135b).

The property spans over 70,400 square metres (sqm) in total gross area on around 56,200 sqm of freehold land. Two blocks of three-storey dry warehouses compose the area and were completed in 2019. 

Included in the property are high-quality building specifications such as strong floor loading of over 20 kilo-newton per sqm, high floor-to-ceiling height of 10 to 17 meters, large floor plates of up to 14,200 sqm and a full sprinkler system. 

Direct ramp access to the upper floors and spacious docking yard is also a part of the property.

The property was independently valued by MatePlus Appraisal at $159.52m (KRW 139.6b) as of 2 September. 

The hub is located in northern Yeoju, northeast of the Yogin-Incheon market. Access to Gwangju-Wonju Expressway and National Road #3 is readily available as well.

The acquisition is expected to raise MLT’s e-commerce revenue exposure in South Korea from 24% to 31%. A weighted average lease expiry of approximately 3.1 years will provide MLT with a stable and growing income stream. 

Transaction-related costs are expected to be around $9.8m (KRW 8.6b). This includes the acquisition fee of $1.5m (KRW 1.35b). An estimated net property income yield of 4.2% is expected to MLT’s distribution per unit. The aggregate gearing ratio is expected to hover around 40.3%.

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Singtel had the most growth for the day.
This is despite its improved performance in two categories.
The expected increase will be driven by three factors.
The two also discussed post-pandemic recovery.
It also recorded a strong performance for H1 2021, despite a net loss of $150.6m.
Jigger & Pony found itself retaining its ninth ranking.
The moderate increase was driven by expansions in five out of six indicators.
Perpetual (Asia) Limited is on the other end of the agreement, as the purchaser.
CLSA will serve as issue manager of the proposed spin-off and listing.
Yangzijiang Shipbuilding had the most growth for the day.
The new facility is the first of its kind in Singapore.
Proceeds will be used for Olam's general corporate purposes.
The completion of divestment will take place during the first quarter of 2022.
This is to raise gross proceeds of more than $200m.