CLI’s flagship regional fund acquires newly-completed Grade A logistics property in South Korea for $112 mil
The real estate, Anseong Seoungeun Logistics Centre, consists of 2 four-storey buildings with basement levels. The real property has an overall of 60,407 sqm of net leasable area.
“Asia Pacific continues to benefit from rapid urbanisation as well as strong business growth. Since the launch of COREF, we have indeed built a diversified profile of 11 top quality investments across four nations in Asia Pacific that give capitalists eye-catching risk-adjusted profits. We will remain to utilize our nation teams’ on-the-ground knowledge to expand our exclusive funds,” Treacy proceeds.
” Leveraging our team’s special offer sourcing and execution capacities and extensive 20-year record, we secured this premium asset at an attractive cost by means of an off-market exercise,” states Matthew Sohn, head of Korea for CLI. “We expect logistics produce to moderate substantially in the midterm provided ascending building prices, project financing difficulties and tighter project restrictions. We see potential in this asset as it has a top location in the north-western region of Anseong, an up-and-coming submarket that has actually lured major logistics business to set up base and also numerous global investment company to buy into in logistics properties.”
Since its kickoff in September 2021, COREF has invested in properties in Australia, Japan including Singapore.
It is located in the north western area of Anseong, a developing logistics center in the Gyeonggi state. The area is said as being well-served by main expressways providing quick and easy access to Seoul and even Greater Seoul. A brand-new expressway, that is anticipated to be completed by 2024, will certainly include better access to the property.
The procurement will take COREF’s funds under management (FUM) to over $1 billion.
” This investment complements COREF’s presenting portfolio of 10 workplace together with multifamily possessions throughout Japan, Singapore including Australia and diversifies the profile to the resilient South Korean logistics sector,” includes Simon Treacy, CEO of exclusive equity realty at CLI. “Interest for top quality logistics facilities in the country is robust and boosting gradually on the back of accelerating ecommerce progression that has led to the country getting among the highest possible ecommerce penetration rates internationally. The purchase additionally aligns with COREF’s vital financial investment styles, which include capitalising on emerging submarkets in the fund’s target established nations and the expanding dominance of e-commerce.”
CapitaLand Open End Real Estate Fund (COREF), the front runner local core-plus fund of CapitaLand Investment (CLI) 9CI -0.93%, has obtained a freshly completed, Grade A logistics property in South Korea for $112 million.
