ESR Cayman Limited (ESR) has acquired a prime logistics and industrial portfolio in Greater Shanghai, China, in partnership with a global institutional investor.
ESR said the portfolio, which consists of 11 completed logistics and industrial assets with a total GFA of over 550,000 sqm, represents the largest logistics and industrial portfolio ever sold in Greater Shanghai.
The portfolio is concentrated in the Yangtze River Delta region, spanning major cities including Shanghai, Kunshan, Suzhou, Taicang and Hangzhou, with high exposure to dense population centres and excellent access to transportation systems.
Jeffrey Shen, Co-founder and Co-CEO of ESR, said: “A high-quality existing portfolio of this size, strategic location and value-add potential is a rare opportunity in the closely held greater Shanghai market. We are very pleased to collaborate with one of our long-time capital partners to secure this portfolio. This acquisition further cements ESR’s strong position in China as we continue to expand our network of strategically located best-in-class New Economy assets across the country. This also demonstrates our ability to capture compelling investment opportunities for our capital partners who are eager to increase their exposure to New Economy real estate where they remain significantly underweight. The portfolio has several projects with strong value-add potential, which will be optimised by ESR as our highly experienced team leverages its deep local knowledge and our robust ecosystem of customer relationships.”