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Published September 4, 2007

Mapletree fund acquires 2 industrial properties

MAPLETREE Industrial Fund Ltd is acquiring a factory building in Tech Park Crescent for $12.48 million, and has also bought a light industrial building at 19 Tai Seng Drive for $12.5 million.

In a statement, the company said it has signed a sale-and-leaseback agreement with Centillion Environment and Recycling for the three-storey Teck Park property.

The factory has a gross floor area of about 9,800 square metres and is located within the Tuas Industrial Estate, which houses a wide range of industries from bio-medical to food, manufacturing and warehousing industries.

Separately, the fund also bought a six-storey light industrial building, with a gross floor area of about 8,600 square metres. Located in Tai Seng Industrial Estate, the building currently serves various functions such as a telephone exchange, mobile telephone switching centre and international gateway network management centre. StarHub is taking out a long lease on the property, the statement added.

Both properties will be managed by Mapletree Industrial Fund Management (MIFM) - a wholly owned subsidiary of Mapletree Investments.

Phua Kok Kim, CEO of MIFM, believes that these acquisitions will enhance the fund's portfolio value given their choice locations and the 'strong demand for industrial space on the back of the continued firm growth of the manufacturing sector'.