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, comprises 2 four-storey structures with basement levels. The property has a total amount of 60,407 sqm of net leasable location.
Since its inception in September 2021, COREF has invested in assets 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 obtained a freshly completed, Grade A logistics real property in South Korea for $112 million.
” Take advantage of our team’s special offer sourcing and implementation capabilities and even extensive 20-year track record, we secured this excellent property at a desirable rate by means of an off-market exercise,” says Matthew Sohn, head of Korea for CLI. “We anticipate logistics produce to moderate significantly in the midterm provided increasing building prices, campaign funding challenges and also tighter development limitations. We see possible in this property as it has a top area in the north-western area of Anseong, a promising submarket that has lured major logistics business to set up base and also several global investment company to invest in logistics investments.”
It is located in the north western area of Anseong, an emerging logistics hub in the Gyeonggi state. The area is claimed for being well-served by key expressways providing convenient accessibility to Seoul and even Greater Seoul. A brand-new expressway, that is expected to be finished by 2024, will certainly include greater availability to the real estate.
” This investment enhances COREF’s existing portfolio of 10 workplace together with multifamily possessions across Japan, Singapore and Australia and diversifies the portfolio to the resistant South Korean logistics sector,” adds Simon Treacy, chief executive officer of nonpublic equity property at CLI. “Interest for high quality logistics centers in the country is robust and enhancing gradually on the rear of speeding up ecommerce development that has led to the country having among the highest possible ecommerce penetration prices internationally. The transaction additionally lines up with COREF’s essential financial investment motifs, like capitalising on emerging submarkets in the fund’s target created nations and the growing dominance of shopping.”
“Asia Pacific continues to gain from rapid urbanisation and robust economical growth. Since the launch of COREF, we have actually built a varied portfolio of 11 high quality assets throughout 4 nations in Asia Pacific that give capitalists appealing risk-adjusted returns. We will continue to utilize our nation teams’ on-the-ground competence to expand our confidential funds,” Treacy continues.
The purchase will certainly carry COREF’s funds under management (FUM) to over $1 billion.