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Mapletree Logistics Trust to pay A$85m for four Sydney warehouses

LOGISTICS real estate investment trust Mapletree Logistics Trust plans to buy four dry warehouse facilities in Sydney, Australia, for a total of A$85 million or about S$84.4 million, it said in a bourse filing on Sunday.

The purchase will grow the trust's footprint in Sydney to five assets with a combined gross floor area of 108,300 sq m, said the trust manager's chief executive officer Ng Kiat in a statement.

Ms Ng said the properties were about 30 kilometres from Sydney's central business district and were "fully leased to established local industry players" with a weighted-average lease expiry of 5.5 years with fixed annual escalations.

The trust said the properties to be acquired offer a net property income yield of 7.1 per cent and that the purchase was "expected to be accretive at the distribution level".

It said it was buying the properties from Altis Real Estate Equity Partnership II Fund.