GIC to Acquire 6 Logistics Assets in Japan from Blackstone

Posted on 04/28/2023

Growth in the Japan logistics sector has been driven by the robust performance in e-commerce and third-party logistics businesses. Singapore’s GIC Private Limited plans to invest more than US $800 million to fully acquire a portfolio of six logistics facilities in Japan from Blackstone Inc. The assets were developed by Daiwa House Industry, a Japanese real estate developer engaged in various asset classes including logistics, residential, office, and retail. The portfolio comprises six modern warehouses with an average age of five years across Japan. The facilities are well-located, spanning regional logistics hubs with convenient transportation access via major roads and expressways. The assets would provide strong and resilient cash flow from their high weighted average occupancy of 99%.

GIC has invested in Japanese real estate for more than 30 years.

Goh Chin Kiong, Deputy Chief Investment Officer, Real Estate, GIC, said in a press release: “This acquisition represents an attractive opportunity for GIC to further expand our exposure to logistics assets. This portfolio provides stable and diversified income streams with attractive growth potential, which is well-aligned with GIC’s long-term investment horizon and approach. It is a good addition to our Japan portfolio as we continue to focus in tailwind sectors such as hospitality and logistics.”

In July 2020, Blackstone acquired four logistics facilities in Japan from Daiwa House Industry for 55 billion JPY. The four facilities are located in the Kanto region, which includes Tokyo, as well as the central Chubu region.

Keywords: Blackstone Group LP.

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