Mapletree Industrial Trust to divest 19 Changi South property for S$13M

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Mapletree Industrial Trust entered a deal to sell the property at 19 Changi South Street 1 to unrelated third party Esco Micro for S$13 million in cash, the trust’s manager said in a filing to SGX Thursday.

“The property has been vacant since September 2021 following the lease expirations of its anchor tenants. The manager has assessed that it would be difficult to secure a suitable mix of anchor tenants in the near term,” Mapletree Industrial Trust said in the statement.

“Given its relatively small land area, the manager has also assessed that it would not be economically viable to redevelop the site,” the trust added.

The property has a gross floor area of around 82,737 square feet and is a two-storey light industrial building, with a four-storey extension block, located within the Changi South Industrial Estate, the filing said.

In early November, the property was valued at S$11.9 million by CBRE, the filing said.

Mapletree Industrial Trust said it acquired the property in 2010 as part of its initial public offering (IPO) portfolio  for S$12.4 million.

The net proceeds will be used to fund committed investments and working capital requirements and/or to reduce existing debt, the trust said.

The property contributed around 0.2 percent of portfolio gross revenue for the 12 months ended 31 March, Mapletree Industrial Trust said.