ESR Kendall Square REIT has raised US$400m (€354.4m) in what it called a “follow-on offering”, a year after it was first listed on the Korea Stock Exchange.

ESR Kendall Square, the only pure-play logistics and industrial vehicle in Korea, said this was the biggest follow-on offering for a listed REIT in Korea in terms of offering size.

Sanghwoi Bae, CEO of KendallSquare REIT Management, said: “With completion of the follow-on offering, ESR Kendall Square REIT is poised to become Korea’s biggest listed REIT in terms of market capitalisation and asset size.”

ESR Kendall Square has a portfolio of 18 logistics assets valued at US$2.2bn.

Jeffrey Shen and Stuart Gibson, co-founders and co-CEOs of ESR, said: “Korea is a core strategic market of ESR where we continue to see great potential and prospects driven by strong e-commerce and a limited supply of prime institutional-grade logistics assets.

“The ESR Kendall Square REIT is a great example of the continued financialisation of real estate in APAC.

“We are seeing the emergence of a large and thriving REIT sector, accelerated by new REIT legislation in various key markets across the region, including in Korea.”

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