Current location site: Global

Singapore, 16 January 2026 – CapitaLand Ascendas REIT Management Limited, as the manager (the Manager) of CapitaLand Ascendas REIT (CLAR) is pleased to announce the acquisition of DHL Canal Winchester, a modern Class A logistics property in Columbus, Ohio, the United States (US), for S$94.5 million¹ (US$73.8 million) (the Purchase Consideration).  Upon completion of the acquisition, Exel Inc. d/b/a DHL Supply Chain (USA) (DHL), a global leader in the logistics industry, will enter into a long-term leaseback of the property.

Rationale and Merits of the Acquisition

1. Strengthens CLAR’s logistics portfolio in the Midwest, a key logistics market in the US

With excellent connectivity to air, rail and road transportation networks, DHL Canal Winchester is well-positioned to serve as a regional logistics distribution hub and will strengthen CLAR’s presence in the Midwest. 

It is situated along Highway 33, less than 30 kilometres from Downtown Columbus and Rickenbacker International Airport, which is a cargo-dedicated international logistics hub with direct flights to Asia, Europe and the Middle East².  A coast-to-coast rail service is available at the airport through two of the US’ national rail carriers. The property has easy access to three other interstate highways. This includes Interstate 70, a major east-west artery stretching across 10 states in the US and Interstate 71, a north-south highway connecting Ohio and Kentucky.

DHL Canal Winchester will add to CLAR’s logistics portfolio in the US, which mainly comprises assets in the Midwest cities of Chicago, Kansas City and Indianapolis.  These cities are major logistics hubs due to their strategic locations which provide easy access to a large proportion of the US population, as well as their excellent ground, water and air transportation networks³.  The Midwest benefits from limited exposure to international trade, minimal oversupply and outsized manufacturing sectors which could potentially gain from increased domestic production⁴. 

2. Modern Class A logistics property fully occupied by DHL with a long-term lease

The property was completed in 2024 and comprises a single-storey logistics building with a gross floor area (GFA) of 755,160 square feet (sq ft).  Market-leading specifications include a high ceiling with a clear height of 12.2 metres (40 feet), cross-dock configuration, multiple points of ingress/egress and LED lighting.  DHL Canal Winchester will enhance the quality of CLAR’s portfolio by increasing the proportion of modern logistics assets to 52.4% of CLAR’s US logistics portfolio by assets under management (AUM)⁵.

DHL will lease back the entire property under a long-term lease until December 2030 with options to renew for two additional five-year terms.  The property’s long weighted average lease expiry of approximately five years and built-in annual rent escalation of 3.5% is expected to enhance the resilience of CLAR’s income stream.

3. Expands CLAR’s presence in markets with healthy logistics fundamentals

The acquisition aligns with CLAR’s strategy to grow its US logistics portfolio selectively.

Columbus is the sixth largest logistics market in the Midwest based on its market size of approximately 307.1 million sq ft⁶.  Demand for industrial space in Columbus remained robust with positive net absorption outpacing new construction vacancies in 2025 which led to a decline in the vacancy rate for three consecutive quarters to 7.0% in 3Q 2025.  Meanwhile, average asking rents in the market for industrial space increased 2.5% year-on-year⁷.

Columbus’ economy is supported by businesses in various industries including manufacturing, finance & insurance, professional & business services as well as the government⁸.  The state of Ohio was ranked fifth in CNBC’s 2025 analysis of “America’s Top States for Business”, scoring favourably in categories such as infrastructure, cost of doing business, technology & innovation, as well as access to capital and cost of living.

Upon completion of the acquisition, the value of CLAR’s logistics AUM in the US will increase by 17.4% to approximately S$651.6 million⁹.  CLAR’s logistics footprint in the US will also expand to 21 properties across five cities with a total GFA of approximately 5.9 million sq ft.

4. Distribution per unit (DPU) accretive acquisition

The first-year net property income (NPI) yield¹⁰ of the acquisition is attractive at approximately 7.4% pre-transaction costs and 7.2% post-transaction costs. 

The acquisition is DPU-accretive on a pro forma basis.  Assuming the acquisition was completed on 1 January 2024¹¹, the DPU accretion is expected to be approximately 0.012 Singapore cents or 0.1%.