ESR and a subsidiary of Mitsubishi Corporation have formed a partnership to develop logistics facilities, valued at more than US$80m (€70m) in Indonesia.
PT MC Urban Development Indonesia (MCUDI) and ESR will jointly develop two logistics and industrial facilities in Greater Jakarta.
The project marks the second phase of the firms’ broader partnership in the country and builds on the successful delivery and leasing of three earlier developments.
The latest projects are Karawang Logistics and Industrial Hub which will comprise a Grade A single-story, three-block facility within the Suryacipta industrial estate and Cikarang Logistics and Industrial Hub.
Jai Mirpuri, head of Southeast Asia, ESR, said: “This investment reflects ESR’s asset-light strategy and focus on APAC markets with clear demand visibility and strong partner alignment.
Following the success of our initial collaboration, we are scaling institutional grade logistics and industrial developments in strategic Greater Jakarta locations where supply remains structurally constrained.”
Hideaki Nakajima, incoming president director of MCUDI, said: “We look forward to expanding our collaboration and investment with ESR in warehousing projects in Indonesia by combining our local capabilities with our accumulated know-how and network in Japan, alongside ESR’s fund management and development expertise.
“Together, we are well positioned to deliver institutional-grade assets that meet the evolving needs of global and domestic customers across Greater Jakarta.”
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