SINGAPORE - Mainboard-listed GLP, a logistics services provider and fund manager, announced Thursday (June 30) that it will sell its 50 per cent share of GLP MFLP Ichikawa Shiohama to GLP J-Reit for approximately 15.5 billion Japanese yen (S$203 million).
The company said that the sale price is in line with the latest appraisal value as of March 31 this year, and that the transaction is expected to be completed in September this year.
Net sale proceeds for GLP are estimated to be approximately 7.9 billion yen, which the company plans to reinvest into its development in Japan.
GLP EMFLP Ichikawa Shiohama is a joint venture project with Mitsui Fudosan, located along the Tokyo Bay area which is about 15 kms from the city centre. The 122,000 sqm property is fully leased to global retailers like H&M, Forever 21 and Rakuten.
GLP J-Reit, which was one of Japan's largest real estate IPOs when it was launched in December 2012, is a real estate investment trust focused on operating properties in Japan. GLP is the property and asset manager of the J-Reit, and has the right of first look on 20 properties owned by GLP.
Mr Yoshiyuki Chosa, President of GLP Japan, said: "This transaction creates considerable value for GLP and highlights the embedded value of our development pipeline. GLP remains committed to its strategy of recycling capital and growing its fund management platform to maximize value for its shareholders."