Mapletree announces $1.8bn equity raise for its pan US-European logistics fund

Mapletree announces $1.8bn equity raise for its US-European logistics fund
1089 E. Mill, San Bernardino, California, with an NLA of 404,725 sq ft is one of the distribution warehouses held by MUSEL in the US.

Singapore-based Mapletree Investments Pte Ltd (Mapletree) announced that it has raised US$1.8 billion (app.S$2.6 billion) in equity for MUSEL Private Trust, its pan US-European logistics fund from institutional, corporate and HNW investors.

The pan US-European logistics fund comprises 262 logistics assets across 26 states in the United States (US) and 20 cities across seven European countries at a total investment value of US$4.3 billion (app.S$6.1 billion).

MUSEL’s properties in the US are strategically located close to population and consumption centres such as California, Texas and Pennsylvania/New Jersey as well as key logistics and transportation hubs such as those in the Midwest.

In Europe, the portfolio is diversified across 20 cities in seven countries which include Poland, France, Germany and Spain. These properties are also located in established distribution centres within major logistics markets and enjoy excellent access to key transportation nodes including highways, ports and airports.

“Despite the challenging macroeconomic global outlook, investors are attracted to the robust fundamentals of the logistics sector and resilience of our high-quality, income-producing logistics portfolio across the US and Europe. Our success in syndicating this fund is testament to the strong confidence that investors have in Mapletree’s capital management and global real estate capabilities. Even with the current backdrop of economic uncertainty, the Group expects the portfolio to generate stable dividends and attractive total returns,” said Hiew Yoon Khong, Mapletree’s Group Chief Executive Officer.

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The syndication of MUSEL is in line with Mapletree’s business model, which includes being an active capital manager in both the private and public markets

The Trust will be managed by Mapletree Real Estate Advisors Pte. Ltd., a wholly-owned subsidiary of Mapletree. The Group will retain a 34 per cent stake in MUSEL to align with investor interests; similar to its approach with other sponsored private funds such as Mapletree Australia Commercial Private Trust (MASCOT) and Mapletree Global Student Accommodation Private Trust (MGSA), and its four Singapore-listed real estate investment trusts (REITs).