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, makes up two four-storey buildings with basement grounds. The real estate has a total of 60,407 sqm of net leasable area.
The procurement will certainly carry COREF’s funds under management (FUM) to over $1 billion.
It is located in the north western region of Anseong, an emerging logistics centre in the Gyeonggi province. The area is said for being well-served by primary expressways providing convenient accessibility to Seoul and Greater Seoul. A new expressway, which is anticipated to be finished by 2024, will include higher accessibility to the property.
” Leveraging our group’s deal sourcing along with execution abilities plus substantial 20-year track record, we obtained this premium property at an appealing price through an off-market exercise,” claims Matthew Sohn, head of Korea for CLI. “We expect logistics produce to moderate substantially in the midterm provided ascending construction prices, project funding difficulties and tighter project regulations. We see possible in this property as it has a top place in the north-western area of Anseong, an up-and-coming submarket that has attracted major logistics firms to set up base and several global investment firms to get into in logistics properties.”
CapitaLand Open End Real Estate Fund (COREF), the front runner regional core-plus fund of CapitaLand Investment (CLI) 9CI -0.93%, has recently acquired a newly finished, Grade A logistics property in South Korea for $112 million.
Ever since its creation in September 2021, COREF has purchased properties in Australia, Japan and Singapore.
“Asia Pacific remains to gain from quick urbanisation and robust economic growth. Ever since the start of COREF, we have indeed constructed a varied profile of 11 high quality investments throughout four countries in Asia Pacific that give investors eye-catching risk-adjusted gains. We will remain to take advantage of our nation teams’ on-the-ground competence to grow our private funds,” Treacy proceeds.
” This investment matches COREF’s existing portfolio of 10 workplace together with multifamily properties throughout Japan, Singapore and even Australia and expands the portfolio to the durable South Korean logistics market,” includes Simon Treacy, CEO of private equity property at CLI. “Need for quality logistics centers in the country is durable and boosting continuously on the back of increasing shopping growth that has caused the nation getting among the greatest ecommerce penetration prices globally. The transaction likewise coordinates with COREF’s key financial investment styles, such as capitalising on arising submarkets in the fund’s target created countries and the growing supremacy of e-commerce.”