Mapletree Sells US Warehouse Portfolio to Faropoint for $328M

Mapletree Investments has sold a 30-asset portfolio of industrial properties to New Jersey-based fund manager Faropoint for $328 million, marking the Singaporean real estate player’s first major US warehouse disposal.

The portfolio comprises multi-tenant warehouse buildings in Florida, Georgia, New Jersey, Pennsylvania and Texas totalling 1.8 million square feet (167,225 square metres) of space, Mapletree said Tuesday in a release. The divested properties were held under a 2019-vintage private fund with $4.3 billion in US and European assets under management.

Temasek-owned Mapletree framed the deal as an asset recycling exercise and said the firm remained bullish on the long-term potential of the US industrial market.

“This transaction represents our first large-scale warehouse divestment in the US — a milestone that unlocks capital for reinvestment in new opportunities that align with our conviction in this sector,” said Mapletree US CEO Richard Prokup.

MUSEL’s First Exits

Faropoint bills itself as one of the top 20 industrial real estate owners in the US and has acquired more than 500 warehouses since the company’s founding in 2012.

The Mapletree acquisition comes as Faropoint recently announced its Industrial Value Fund IV targeting $1 billion in commitments, with the Teacher Retirement System of Texas having pledged $225 million. The fund aims to build a portfolio of 250 properties in US markets after the third vehicle in the series closed at $916 million last year, exceeding the $750 million target.

“This portfolio is a strategic addition to our platform and reinforces Faropoint’s conviction in the long-term fundamentals of infill industrial real estate,” said chief investment officer Ohad Porat. “It advances the scale and discipline we apply to our investment strategy as we continue growing across key US logistics corridors.”

The deal marks the first phase of exit for investors in Mapletree US & EU Logistics Private Trust (MUSEL), which was launched six years ago with 200 assets in America and 62 in Europe spanning a total of 56 million square feet.

The US accounted for roughly 25 percent of Mapletree’s S$80.3 billion ($60.1 billion) in assets under management at the end of March, according to the firm, which was represented by JLL’s John Huguenard and Trent Agnew on the transaction with Faropoint.

Rebound From Red Ink

Mapletree last month posted a net profit of S$227.2 million ($176.4 million) for its fiscal year to the end of March, reversing a year-earlier loss of S$577.2 million, as revaluation losses eased and asset sales accelerated.

The result got a boost from net proceeds of S$897 million on the divestment of assets including 20 Harbour Drive in Singapore, Oakwood Suites Yokohama in Japan and logistics properties in Malaysia and Vietnam.

The fiscal year saw Mapletree expand its presence in Europe’s industrial market with the purchase of 10 sheds in Spain and the firm’s first logistics asset in the UK for €315.1 million ($328.7 million). The firm also closed MAJIC, its third Japan-focused fund and second Japan logistics development fund, targeting assets under management of JPY 110 billion ($710 million) upon full deployment.

In addition, Mapletree is marketing a new logistics development vehicle, Mapletree Emerging Growth Asia Logistics Development Fund, with a focus on Malaysia, India and Vietnam. MEGA will comprise development assets of up to $1.8 billion and is due to close this year, according to the firm.

The sponsored Mapletree Industrial Trust acquired a mixed-use facility in Tokyo in late 2024 for conversion into a data centre, while Mapletree’s first data centre development in Hong Kong is expected to be completed in the second half of 2025.