Mapletree Industrial Trust's property at Changi Business Park, Singapore. (Photo: REITsWeek)Mapletree Industrial Trust's property at Changi Business Park, Singapore. (Photo: REITsWeek)

The Mapletree Greater China Commercial Trust (MGCCT) is not expected to go public till at least March 2013. However investment forums are already abuzz with excitement on what sets to be Singapore's largest REIT IPO to date. MGCCT will be the fourth REIT offering by government-backed Mapletree Investments and is looking to raise about US$1.2 billion. Mapletree Investments is the real estate unit of Temasek Holdings, Singapore's sovereign fund investment firm.

Mapletree Industrial Trust
Previous successful listings by Mapletree Investments include Mapletree Industrial Trust in 2010

MGCCT will hold assets exclusively in China including Festival Walk in Hong Kong and Gateway Plaza in Beijing. Based on this projected profile of properties, analysts have largely expected the IPO to outperform Mapletree Investments previous two listings. The Mapletree Commercial Trust (MCT) raised US$754 million in 2011 while Mapletree Industrial Trust (MIT) raised US$714 million in 2010.

However some investors have raised concerns of an asset bubble in China and questioned the timing of the listing. Others have indicated that they will wait out for the official announcement of the offering price before coming to a decision on the IPO.

The listing of MGCCT is being managed by Citigroup, Goldman Sachs Group, DBS Group Holdings and HSBC Holdings.

Mapletree Investments currently has 3 Singapore-focused REITs listed on the SGX - Mapletree Commercial Trust holding retail and office properties, Mapletree Industrial Trust holding factory buildings and Mapletree Logistics Trust holding mostly warehouses and distribution centres.

By Ridzwan Rahmat

Ridzwan has been analysing REITs and business trusts since 2008, and personally manages a portfolio comprising mainly of SGX-listed REITs. He founded REITsWeek in 2013.