A US$1.3 BILLION DATA CENTER DEAL
Sila Realty Trust, Inc. has entered into a purchase and sale agreement with wholly-owned subsidiaries of Mapletree Industrial Trust, a Singapore Exchange listed real estate investment trust, for up to 29 data center properties owned by Sila Realty Trust.
Through this transaction which is valued at approximately US$1.32 billion and subject to certain potential purchase price adjustments, Sila Realty Trust is selling-off the entirety of its data center properties and portfolio.
“We are pleased to enter into this agreement with MIT to sell our data center properties. This action marks another key step in Sila Realty Trust’s evolution to provide a clear path for the Company to pursue a strategy as a pure-play healthcare REIT,” said Michael A. Seton, Chief Executive Officer and President of Sila Realty Trust, Inc.
“Upon closing this Transaction, we will continue to be focused on enhancing the value of our Company through internal and external growth opportunities which, we believe, will maximize optionality to achieve liquidity for our stockholders within the timeframe communicated during our offering.”
The data center properties are located across 18 states in the U.S. with a total net leasable area of approximately 3.3 million square feet, giving Mapletree access to a new portfolio with an occupancy rate of 87.8% that houses 32 tenants as at 1 June 2021.
“This portfolio acquisition will enable us to scale up our data center presence significantly and diversify our footprint across key markets in the United States,” said Mr. Tham Kuo Wei, Chief Executive Officer of Mapletree Industrial Trust Management Ltd.
“Data centers remain resilient with attractive growth opportunities, which are underpinned by the acceleration of digitalization, cloud adoption and e-commerce during the pandemic. The New Portfolio will augment MIT’s portfolio with the increased freehold land component and long leases with embedded rental growth.”
As announced, the transaction is expected to close in the third quarter of 2021, subject to the completion of certain regulatory closing conditions.