Keppel DC REIT sells Sydney data centre for $152 mil
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 16 2024
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Source: Yahoo Finance
- Property Sale: Keppel DC REIT Management is selling its stake in Intellicentre Campus to Macquarie Data Centres for $152.1 million.
- Location and Buildings: The data centre is located in Macquarie Park, Sydney, comprising two buildings - Intellicentre 2 completed in 2012 and Intellicentre 3 East completed in 2022.
- Sale Value: The property was last valued at $112.3 million in 2023, with the agreed sale value being 35.4% higher. The exit cap rate is approximately 3.6%.
- Reinvestment: Keppel DC REIT will reinvest $78.7 million in an Australian data centre note issued by Macquarie Data Centres Group, allowing exposure to the Australian data centre market for the next 8 ½ years.
- Financial Details: The REIT will receive a regular income stream from the note, starting at $5.5 million per year, escalating based on Australia's consumer price index. Existing loans related to the original investment will be repaid.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
