Keppel REIT Income Drops on Borrowing Costs and More Asia Real Estate Headlines

Singapore-listed Keppel REIT reports a decline in nine-month distributable income, with that update leading Mingtiandi’s headline roundup today. Also making news, NextDC agrees to buy a development site for a Sydney data centre and Tokyo condo prices hit a record high.

Keppel REIT Distributable Income Dips 1.9% on Borrowing Costs

Keppel REIT’s distributable income fell 1.9 percent year-on-year to S$160.6 million ($122.2 million) for the first nine months of the fiscal year, mainly due to higher borrowing costs, the trust’s manager said Tuesday.

The total includes an anniversary distribution of S$15 million, unchanged from the same period last year. Read more>>

NextDC Agrees to Buy Site for 550MW Sydney Data Centre

NextDC has agreed to purchase a new data centre site near Sydney for A$353 million ($236 million), with plans for a 550-megawatt facility on the plot.

The S7 site covers 258,000 square metres (2.8 million square feet) of developable land area and is near a major electricity substation and telecommunications, utilities and associated public infrastructure. Read more>>

Tokyo Condo Prices Now Average $530K as New Record Set

The average price of new condominiums in the Tokyo metropolitan area logged a record high of JPY 79.53 million ($530,000) per unit in the first half of fiscal 2024, the Real Estate Economic Institute said Monday.

The average price in the area, which also includes Saitama, Kanagawa and Chiba prefectures, rose 1.5 percent from JPY 78.36 million a year earlier. High construction costs due to rising material and labour costs continue to push up sales prices of new condos. Read more>>

Vietnam’s BW Industrial Breaks Ground on 10th Logistics Project This Year

BW Industrial Development JSC, a joint venture of US private equity giant Warburg Pincus and Vietnamese developer Becamex, has kicked off the construction of BW Tan Hiep Logistics Park in Dong Nai province.

The project in southern Vietnam is the 10th logistics project of BW in Vietnam this year, per its plan of kicking off 12 new projects in 2024. The 64 hectare (158 acre) project will cover 9.5 hectares in the first phase. Read more>>

Area Group Starts Construction on Northern Malaysia Data Centre

Real estate private equity firm Area Group has begun building its 156 acre (63 hectare) data centre campus in Kedah, northern Malaysia.

The firm first signed a tentative agreement with Northern Gateway, the primary developer of the Delapan Special Border Economic Zone, in January 2023. Area Group has now officially purchased the land for an undisclosed amount and begun construction on the first 30 acre parcel of land. Read more>>

Macquarie Data Centres Secures $301M Loan Facility

The owner of Australia’s Macquarie Data Centres has secured additional financing to fund further development.

Macquarie Technology Group this week announced the successful signing of a debt refinancing to support its data centre expansion. Under the new syndicated facility agreement, the group has access to a five-year A$450 million ($300.6 million) secured revolving loan facility, representing an increase of A$260 million to the previous facility. Read more>>

China Construction America Ordered to Pay $1.6B for Delays in Baha-Mar Project

A New York court has awarded a Bahamas-based property management company $1.6 billion against China Construction America in a long-running legal dispute over a massive tourism project in the former British colony, according to a decision released Monday.

The case won by BML Properties involved a disagreement over Baha Mar, a 1,000 acre (404.7 hectare) project that included three hotels totalling some 2,200 rooms, more than 280 private residences, a 9,300 square metre (100,104 square foot) casino and a golf course designed by Jack Nicklaus. Read more>>

Tokyo Metro’s Strong Market Debut Lifts Japanese Stocks

The trading debut of Tokyo Metro Co, which runs one of the world’s largest subway systems, is set to support the bull case for the Japanese stock market after an oversubscribed public offering.

Japan’s biggest listing in six years got more than 15 times demand, some of the underwriters said Tuesday. The sale is a key gauge of appetite for Japanese shares just days before a crucial election that may shape expectations for further interest-rate rises. Read more>>

Tune in again soon for more real estate news and be sure to follow @Mingtiandi on Twitter, or bookmark Mingtiandi’s LinkedIn page for headlines as they happen.