Japan-focused REIT Daiwa House Logistics Trust (DHLT) is acquiring DPL Ibaraki Yuki, one of the assets listed in its acquisition pipeline.

The property is a freehold logistics asset located in the Ibaraki Prefecture, Greater Tokyo and it is being acquired from the REIT’s sponsor.

Its purchase consideration is JPY2,640.0 million (SGD24.1 million), which is a discount of 18.1% to the average of the two independent valuations.

The acquisition and its related costs are expected to be financed through external debt financing.

“With this acquisition, DHLT will add to its portfolio a newly completed freehold property that is anchored by a blue-chip tenant”, said Jun Yamamura, CEO of the REIT’s manager.

“The sponsor has also once again [shown]its strong commitment to support the growth of DHLT by selling this high-quality property at an attractive discount of 18.1% to the average independent valuation.

DHLT expects the acquisition to be completed in the first quarter of 2024.

By Shariffa Al-Habshee

Shariffa joined REITsWeek in 2017, and monitors Asia-Pacific REITs for the publication.