AEW Capital Management has marked its first logistics investments in South Korea with the acquisition of a $538.2m (€465m) portfolio.
The asset manager said it is has agreed to buy the Yeoju Ganam Logistics Center and Incheon Wongchang-dong Logistics Center in the Greater Seoul Area in a forward funding deal.
Yeoju Ganam Logistics Center comprise four buildings and the Incheon Wongchang-dong Logistics Center is a 9-storey building. The assets are expected to be completed in 2022/2023.
Michael Moon, AEW’s country manager – Korea, said: “We are proud to present our first logistics investments in South Korea. This acquisition represents a unique opportunity to purchase two large-scale, mixed-use logistics facilities that are strategically located to major transportation networks.”
Jason Lee, CIO Asia Pacific for AEW, said: “With growing leasing demand from e-commerce players and 3PL operators with nationwide distribution needs, these assets should benefit from the current and projected market fundamentals of the logistics sector in South Korea.
“We believe it is a great opportunity to gain exposure to a sector with strong demand projections coupled with steady rental growth.”
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