Daiwa House Logistics Trust proposes to divest DPL Sendai Port, buy Hiroshima facility
The acquisition consideration for DPL Hiroshima Itsukaichi Port stands at some 8.2 billion yen
Daiwa House Logistics Trust announced on Friday its proposal to divest DPL Sendai Port in Japan's Miyagi prefecture and acquire DPL Hiroshima Itsukaichi Port. The divestment of DPL Sendai Port is valued at 13.5 billion yen, a 2.7% premium above independent valuations. In contrast, the acquisition of DPL Hiroshima Itsukaichi Port is valued at 8.2 billion yen, representing a 16.7% discount from an independent valuation.
DPL Sendai Port's occupancy had dropped from 100% in December 2024 to 31.9% as of September 30, 2025, while DPL Hiroshima Itsukaichi Port is fully occupied by two major logistics companies. The trust aims to improve its portfolio quality by incorporating the high-quality DPL Hiroshima property, which would boost its overall portfolio occupancy to 96.9% from 88.5%.
The proposed transactions are expected to increase the trust's net property income for the fiscal year 2025 by 4% and for the first half of FY2026 by 7.9%. This move is anticipated to enhance the distribution per unit of the REIT by 5.5% for FY2025 and 11% for H1 FY2026. The CEO of the trust, Jun Yamamura, stated that the transactions will make the REIT more attractive by improving its distribution per unit and strengthening the balance sheet, while also providing the trust with financial flexibility for future growth.
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