MLT To Make 17.5b Yen Acquisitions In Japan
Mapletree Logistics Trust (MLT) has entered into separate sale-and-purchase agreements to acquire a portfolio of seven dry warehouse facilities from Goodman Japan for 17.5 billion yen ($292 million). These high quality logistics facilities are located within key logistics hubs across Japan in the Hokkaido, Greater Tokyo, Nagoya and Osaka regions. The facilities are built with modern specifications, relatively young with a weighted average building age of 4.9 years and have an aggregate gross floor area of 124,300 square metres (sqm). At present, the assets are 100 percent leased to single users who are mainly engaged in the food and consumer product industries.
Significance: The deal is expected to generate a stabilised weighted average net property income yield (NPI) of about 6.2 percent, comparing favourably to its existing implied NPI of 5.6 percent. Upon completion, gross revenue contribution from Japan will increase to 29 percent from the current 24 percent.
See Hup Seng Forms JV With GEP Asia To Build $27m Chemical Hub
See Hup Seng is planning to build a $27 million integrated chemical hub in Singapore through a joint venture with GEP Asia Holdings. According to its statement, See Hup Seng had entered into a conditional sale-and-purchase agreement with GEP Asia to acquire a 51 percent stake in Eastern Tankstore (S) for $4.1 million. Eastern Tankstore owns a 13,500 sqm leasehold property at Penjuru Lane, on which See Hup Seng intends to build its integrated chemical hub. The present blueprint is to build a four-storey hub with a gross floor area of around 25,450 sqm. The integrated chemical hub will offer two main services: toll blending, which includes chemical blending and filling into drums; and chemical warehousing and logistics. Construction work will begin towards year-end, and the hub is expected to be completed and operational in 2015.
Significance: As more refining and chemical manufacturing operations concentrate in Singapore, it is believed that the integrated chemical hub will enable See Hup Seng to capture a larger share in the growing refined petroleum industry in Asia.
FJ Benjamin Brings Goyard To Singapore
FJ Benjamin Holdings, the mainboard-listed distributor of international luxury brands, is bringing La Maison Goyard to Singapore. The company looks to open of a standalone flagship store at Takashimaya Shopping Centre, Ngee Ann City in the fourth quarter of 2013. Goyard, one of France’s most prestigious and sought-after luxury brands, is the oldest trunk maker in existence and is renowned for its signature hand-painted chevron motif. Specifically, the Singapore store will feature a full collection of trunks, bags and accessories.
Significance: FJ Benjamin is the exclusive retailer for Goyard in Hong Kong and Singapore. The luxury brand was successfully launched in Hong Kong with a store opened at The Peninsula in February 2011. Having a similar mature cosmopolitan market, the company hopes to repeat the success in Singapore.