Mapletree Industrial Trust divests Tanglin Halt assets for $50.6m

The REIT will be selling off five-storey and two-storey flatted factories.

Mapletree Industrial Trust (MIT) will divest 115A & 115B Commonwealth Drive, Singapore (Tanglin Halt Cluster) to a third-party purchaser for $50.6m.

The sale price of the cluster represents an 8.4% premium above book value. 

MIT plans to use the sale proceeds from the divestment “to fund committed investments, reduce existing debt and/or make distributions to unitholders.”

The Tanglin Halt Cluster comprises a five-storey flatted factory and a two-storey flatted factory with an amenity centre. It sits on a land area of 99,765 sq ft with a 56-year land lease, which commenced in July  2008. 

The cluster contributed 0.7% to MIT portfolio’s gross revenue in the financial year ended 31 March 2023.