Mapletree sold Oakwood Suites Yokohama to US private equity firm Lone Star Funds (Image: Oakwood)
Singapore’s Mapletree Investments posted a net profit of S$227.2 million ($176.4 million) for its fiscal year to the end of March, reversing a year-earlier loss of S$577.2 million, as the Temasek-owned real estate player’s revaluation losses narrowed and asset sales accelerated.
Mapletree booked net proceeds of S$897 million from the divestment of assets including 20 Harbour Drive in Singapore, Oakwood Suites Yokohama in Japan and logistics properties in Malaysia and Vietnam during the reporting period, the firm said Tuesday in a release.
Mapletree’s assets under management grew from S$77.5 billion in the prior fiscal year to S$80.3 billion, despite what CEO Hiew Yoon Khong termed a challenging environment marked by elevated interest rates, intensifying geopolitical tensions and increasing economic uncertainties.
“The group deepened our focus on our core sectors — logistics, student housing, office and data centre — through prioritising operational performance, investing selectively in specific markets with growth potential, and embarking on more development projects for higher returns,” Hiew said.
Funds Launched
The fiscal year saw Mapletree expand its presence in Europe’s industrial market with the purchase of 10 warehouses in Spain and the firm’s first logistics asset in the UK for €315.1 million ($328.7 million).
Mapletree Investments CEO Hiew Yoon Khong
Mapletree also closed MAJIC, the firm’s third Japan-focused fund and second Japan logistics development fund, targeting assets under management of JPY 110 billion ($710 million) upon full deployment.
In addition, Mapletree is marketing a new logistics development vehicle, Mapletree Emerging Growth Asia Logistics Development Fund, with a focus on Malaysia, India and Vietnam. MEGA will comprise development assets of up to $1.8 billion and is due to close this year, according to the firm.
In the red-hot student housing space, Mapletree completed a $1.3 billion acquisition of 31 student housing assets in the UK and Germany, along with the Student Castle operating platform, making the Singaporean firm the fourth-largest student housing owner in Britain, it said.
The sponsored Mapletree Industrial Trust acquired a mixed-use facility in Tokyo for conversion into a data centre, while Mapletree’s first data centre development in Hong Kong is expected to be completed in the second half of 2025.
Five-Year Vision
Mapletree said it would continue to build on its strengths and pursue opportunities aligned with the targets of its fourth five-year plan, which includes US logistics development in high-potential markets.
In December the firm announced its acquisition of a 22.5 acre (9.1 hectare) site along Burlington-Mount Holly Road in Westampton Township, New Jersey, with plans to develop a 250,000 square foot (23,226 square metre) logistics facility on the plot. The project is set to expand Mapletree’s US warehouse footprint beyond its current 70 million square feet.
“Moving forward, we will continue to prioritise enhancing operational performance for our existing assets, maintaining a selective investment approach in markets with growth potential, creating greater value through development projects — all while deepening collaborations with like-minded capital partners on new funds and syndication,” Hiew said.