Keppel DC REIT Management Pte. Ltd., as manager of Keppel DC REIT, has entered into a sale and purchase agreement to divest its 100 percent freehold interest in Kelsterbach Data Center in Frankfurt, Germany.
The transaction is based on an all-cash offer of €50 million ($52 million) from an unrelated third party. The divestment is expected to be completed in the first half 2025.
Constructed in 1989, the property comprises a five-story shell and core data center and six-story office block.
Following the divestment, Keppel DC REIT’s portfolio occupancy will remain high at 96.6 percent, while the weighted average lease expiry (WALE) by lettable area will improve from 6.3 years to 7.4 years.
“The divestment of Kelsterbach Data Center aligns with our strategy to concentrate on the hyperscale data center market, where demand trends match Keppel DC REIT’s core competencies,” said Loh Hwee Long, CEO of Keppel DC REIT Management Pte Ltd., said. “This fu
