Mapletree Investments has acquired The Cascades, a 184-unit freehold apartment complex in Silicon Valley, United States for US$70 million (S$87.3 million).
The property in Sunnyvale is nestled on 214,000 sq ft of land and has a gross building area of around 210,000 sq ft spread across six apartment blocks.
It is currently an un-serviced residential rental property, but Mapletree plans to retrofit and upgrade it into a modern serviced apartment.
Notably, this is the company’s first acquisition of a serviced apartment asset following its collaboration with Oakwood Worldwide in April. The property will be rebranded as Oakwood Silicon Valley and will be fully owned by Mapletree.
The partnership saw Mapletree take a 49 percent stake in Oakwood Asia Pacific (OAP), the operator-manager of serviced apartments under the Oakwood brand in the Asia Pacific region and outside of North America.
“This maiden acquisition of Oakwood Silicon Valley marks a good start to our partnership with Oakwood. Mapletree will continue to seek new investment opportunities in this asset class in Asia, the US and Europe,” said Chua Tiow Chye, Group Chief Investment Officer at Mapletree.
“While this is our first serviced apartment venture in the US, the liquidity and transparency of the market will provide opportunities for us to participate in its recovering economy and scale up our business,” he added.
Image source: Mapletree
Muneerah Bee, Senior Journalist at PropertyGuru, edited this story. To contact her about this or other stories email muneerah@propertyguru.com.sg