MapletreeLogistics Trust has signed a conditional deal to buy a Hong Kong commercial property for about HK$780 million, or S$151 million.

MapletreeLogistics Trust has signed a conditional deal to buy a Hong Kong commercial property for about HK$780 million, or S$151 million. The acquisition, which is expected to be completed by June next year, is yield-accretive and has a pro forma effect on MapletreeLog’s distribution per unit for the financial year ended Dec 2006 of an additional 0.16 Singapore cents per unit. The properties include various warehouse units and carpark spaces, and a procurement agreement for 95 public lorry park spaces at Grandtech Centre in Shatin, New Territories.

The area is ‘a key cargo hub for China-linked businesses’ with ‘quick access via key railways and expressways to the Chinese border and the container port’, said Chua Tiow Chye, chief executive of MapletreeLog. He said the acquisition will be one of the trust’s top three in terms of revenue contribution. When all announced deals are completed, MapletreeLog’s portfolio value will reach $2.2 billion, up from $1.4 billion at the end of 2006, it said.

Source: The Business Times, 02 May 2007