Mapletree Commercial Trust is announcing the acquisition of Mapletree Business City (Phase 2) from its sponsor. The business park, located on Pasir Panjang Road in Singapore, is being purchased at the price of S$1.55 billion and has a 99 years leasehold starting in 1997. Comprising a total of 110,062 m², it comes with a 99.4% commited occupancy and a 2.9 years WALE.
The manager expects the aquisition to be DPU and NAV accretive and will fund the operation through both debt and an issue of up to 500 million new units (with a private and/or public placement).
A presentation is available on the trust website.