MPACT sells 2 Japan office buildings for $78.7m

After sale, MPACT’s portfolio will comprise 15 commercial properties across Asia.

Mapletree Pan Asia Commercial Trust (MPACT), through its subsidiary Tsubaki Tokutei Mokuteki Kaisha, sold two office buildings in Japan to two unnamed parties.

ABAS Shin-Yokohama (ASY), a nine-storey office building located in Yokohama City, will be sold at a sale price of $30m (JPY3,330m), and TS Ikebukuro Building (TSI), a single-tenanted nine-storey office building in Tokyo, will be sold at a sale price of $48.7m (JPY5,400m).

The combined divestment price amounts to $78.7m (JPY8,730m), representing a 1.7% premium (in local currency terms) against the aggregate purchase price of $104.1m (JPY8,580m). The divestment consideration for both properties will be satisfied wholly in cash.

According to MPACT’s bourse filing on 23 July, the proposed divestments reflect its ongoing portfolio reconstitution efforts and demonstrate its disciplined approach to portfolio and capital management. The divestment proceeds will be directed towards debt reduction to further enhance MPACT’s balance sheet resilience.

The divestments are scheduled for completion by end-August FY25/26 and upon completion of the divestments, MPACT’s portfolio will comprise 15 quality commercial properties located across the five key gateway markets of Asia.