A mixed-use building in Tokyo, Japan, has been acquired by Mapletree Industrial Trust Management (MIT) for JPY 14.5 billion, or around SGD 129.8 million.

The Tama-shi property, which includes a training facility, administrative office, data center, and an adjacent lodging wing, was made available for Mapletree to acquire an effective stake of 98.47 percent through a preliminary contract with an unaffiliated third-party vendor, Nagayama Tokutei Mokuteki Kaisha.

The firm claims that the facility comprises a gross floor area of 319,300 square meters and occupies around 91,200 square meters of land. It is entirely leased to a reputable Japanese company with a term that expires in almost five years on average.

According to MIT, adding a freehold asset will improve the portfolio's diversity in terms of both geography and income. Its advantageous position in West Tokyo, a vital data center hub in Greater Tokyo, will present a chance for Mapletree Tokyo expansion as a new data center. The high demand for data centers, the scarcity of available space, and the restricted growth prospects in West Tokyo will be advantageous for this next reconstruction.

According to a survey referenced in the official release, there has been a significant increase in demand for data center space in West Tokyo, which has resulted in a reduction in the rate of vacant spaces from 23 % in 2018 to 9% in 2023. It is anticipated that this rate will tighten to 6 percent by 2033.

Temasek Holdings, Singapore's sovereign wealth fund, owns Mapletree Industrial Trust, a real estate investment trust (REIT) inside Mapletree Investments.

As of June 30, 2024, MIT has 56 properties in North America (including 13 data center investments held in collaboration with Mapletree Investments), one property in Japan, and 83 properties in Singapore.