Pan-Asian logistics group ESR has had a first close for the ESR Japan Logistics Fund 3 (RJLF3) with an initial capacity to capitalise up to JPY200bn (€1.63bn) of Japanese real estate projects.

The Warburg Pincus-backed manager has brought in two unnamed partners to its latest Japan fund. The two investors had made a combined initial equity investment of JPY70bn.

The capital would be invested in large-scale, state of the art logistics facilities in key Japanese cities of Tokyo, Osaka and Nagoya.

ESR said the partners had a commitment expansion option that, over time, would bring the total investment capacity to up to JPY530bn.

The latest closing of ESR Japan Logistics Fund 3, comes a year after ESR had the final close of its Redwood Japan Logistics fund 2 which raised US$1.2bn, from its investment partners, including Allianz Real Estate.