Mapletree Logistics Trust (MLT) is announcing the purchase of two leasehold land parcels in Subang Jaya, Malaysia. At a total price of RM65.6 million (about S$21.0 million), the leasehold plots will be acquired using debt.
Subject to receipt of relevant regulatory approvals, the potential amalgamation of the Property together with MLT’s existing Subang 3 and 4 provides the opportunity to create a large land parcel of about 492,000 sqft, making it suitable for a redevelopment project that can yield a potential gross floor area of about 1.4 million sqft. The proposed redevelopment with an estimated total investment cost of RM500 million is poised to be the first mega modern logistics facility in Subang Jaya. With the redevelopment, the plot ratio of MLT’s Subang 3 and 4 will increase by five times, with a fivefold increase in gross floor area from 139,000 sqft to 700,000 sqft post redevelopment.