CLI’s flagship regional fund acquires newly-completed Grade A logistics property in South Korea for $112 mil
The property, Anseong Seoungeun Logistics Centre, comprises two four-storey structures with basement grounds. The real property has a total amount of 60,407 sqm of net leasable area.
“Asia Pacific continues to take advantage of rapid urbanisation and strong business development. Since the start of COREF, we have actually built a varied profile of 11 quality assets throughout 4 countries in Asia Pacific that provide investors attractive risk-adjusted returns. We will certainly continue to utilize our nation teams’ on-the-ground experience to grow our exclusive funds,” Treacy proceeds.
” Take advantage of our team’s special offer sourcing along with implementation capacities and extensive 20-year performance history, we obtained this high-quality asset at an enticing price via an off-market exercise,” states Matthew Sohn, head of Korea for CLI. “We expect logistics produce to moderate extensively in the midterm given increasing building prices, campaign financing difficulties as well as tighter development regulations. We see potential in this possession as it has a top location in the north-western region of Anseong, a promising submarket that has actually lured significant logistics companies to set up base and also several global investment firms to invest in logistics properties.”
The purchase will certainly carry COREF’s funds under management (FUM) to over $1 billion.
” This financial investment matches COREF’s presenting profile of 10 office along with multifamily properties across Japan, Singapore and Australia and diversifies the portfolio to the resilient South Korean logistics market,” includes Simon Treacy, chief executive officer of private equity real estate at CLI. “Demand for high quality logistics facilities in the country is durable and enhancing continuously on the rear of increasing e-commerce development that has actually resulted in the nation getting one of the highest possible ecommerce infiltration rates internationally. The purchase also aligns with COREF’s vital investment styles, like capitalising on arising submarkets in the fund’s target created countries and the growing supremacy of e-commerce.”
Ever since its inception in September 2021, COREF has already bought possessions in Australia, Japan and even Singapore.
CapitaLand Open End Real Estate Fund (COREF), the flagship regional core-plus fund of CapitaLand Investment (CLI) 9CI -0.93%, has already obtained a freshly completed, Grade A logistics real estate in South Korea for $112 million.
It lies in the north western area of Anseong, a developing logistics center in the Gyeonggi district. The place is stated for being well-served by key expressways providing convenient accessibility to Seoul and Greater Seoul. A new expressway, which is anticipated to be finished by 2024, will include better availability to the property.