ESR Cayman is to invest JPY27bn (€227m) to develop a 153,092sqm logistics facility in Greater Nagoya, Japan.
Work to build the four-storey, multi-tenant ESR Yatomi Kisosaki Distribution Centre will begin late this year and schedule for completion in April 2022.
Stuart Gibson, co-founder and co-CEO of ESR said: “Greater Nagoya is a very important market with strategic value considering the region produces 27% of Japan’s manufacturing output.
He said the development of ESR Yatomi Kisosaki DC would further consolidate its position in Greater Nagoya, where it already had four facilities.
Greater Nagoya, the third most populated metropolitan area in Japan with a population of 11m, boasts one of the highest concentration of manufacturing plants in Japan and accounts for 8.2% of global automobile production.
ESR has the largest development pipeline in Greater Tokyo and Greater Osaka.
As of 30 June 2019, the total asset under management of ESR’s Japan portfolio reached US$7.6bn (€7m), up by 44% from US$5.2bn as of 31 December 2018.