APAC real asset manager ESR has teamed up with Chinachem to develop a cold storage and logistics facility at Kwai Chung in Hong Kong.
ESR said its subsidiary, Sunrise Victory, has entered into the partnership with Chinachem to develop the facility on the 55,245sqm site which was recently awarded to ESR on a 50-year land grant.
The 138,000sqm seven-storey facility is expected to be completed in 2027.
Jeffrey Shen and Stuart Gibson, co-founders and co-CEOs of ESR, said: “In this new economy driven by the rising e-commerce industry and growing demand for imported food items and pharmaceuticals, our Kwai Chung project is poised to fulfil the growing demand for large-scale, cutting-edge logistics and cold storage space in Hong Kong while enabling Hong Kong to reinforce its leading position as a leading logistics hub to the world and to China.”
Donald Choi, executive director and CEO of Chinachem, said: “We are delighted to collaborate with ESR to tap into an asset serving the New Economy, marking another key milestone in our business diversification strategy.
”In partnership with APAC’s largest fund and asset manager, we can leverage our extensive and solid experience in project management in the development of the acquired site into a modern and sustainable cold chain facility.”
The venture marks Chinachem’s first logistics project and also represents ESR’s first partnership with the Hong Kong property developer.
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