CapitaLand Investment (CLI) has grown its logistics portfolio in South East Asia with two acquisitions in Singapore totalling S$260m (€173.5m).
CLI has bought a minority stake in Ally Logistic Property (ALP), an existing capital partner in the CapitaLand Southeast Asia Logistics Fund (CSLF). CLI stated that the move will complement the group’s wider logistics initiatives and support its expansion into high-growth markets, including Australia, Japan and the US.
Patricia Goh, CEO, Southeast Asia (SEA) and global head, logistics & self-storage, private funds, CLI, said: “Our partnership with ALP combines their deep expertise in logistics automation with CLI’s capabilities in fund management, capital raising and deal sourcing, enhancing our ability to capture new growth opportunities across the wider APAC region and the US. Over the past two years, CLI has deployed approximately S$500m into logistics developments across SEA, accelerating the expansion of its regional platform.”
She said Asia Pacific remained the fastest-growing logistics region, with a projected compound annual growth rate of 15.2% between 2024 and 2030. Structural drivers such as the growth in digitally enabled consumption, ageing population, rising labour costs and supply chain rationalisation continue to fuel demand for modern, automated logistics solutions across the region, she added.
Charlie Chang, co-founder & CEO of ALP, said: “ALP’s end-to-end capabilities, covering real estate development, automation, as well as operations and maintenance, remain a key differentiator for us. Through our OMEGA platform, we integrate artificial intelligence, advanced robotics and proprietary technology to deliver one-stop smart logistics solutions across the supply chain and reduce operational inefficiencies. As we embark on our ambitious expansion across APAC and beyond, we look forward to leveraging CLI’s global resources to accelerate our next phase of growth.”
Additionally, CSLF plans to develop a five-storey fully automated logistics facility on a just-bought 5.1-hectare site in the established Jurong Industrial Estate, home to a diverse ecosystem of logistics operators and manufacturers. When completed in 2028, the facility, named OMEGA 1 Singapore, will be fully leased to ALP under a long-term master lease with built-in rent escalation.
Launched in 2022, CSLF is CLI’s first SEA logistics-focused fund, established to invest in and develop smart logistics assets across the region. Including OMEGA 1, around 55% of its assets under management are in Singapore, with the remainder in Thailand and Vietnam.
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