LaSalle Investment Management has added to its holdings in China’s logistics market following the acquisition of two warehouses.
The sites are just outside Shanghai and Beijing respectively and together account for more than 139,000 square metres.
It is the eighth acquisition for the LaSalle China Logistics Venture fund (LCLV) which now has more than US$1 billion in assets.
“These well-located facilities are an excellent fit for LCLV and highlight our ability to seize opportunities to expand our portfolio through the acquisition of high-quality assets,” said Claire Tang, head of Greater China at LaSalle.
“Modern logistics facilities have been a key investment focus for LaSalle, and the market fundamentals for China logistics remain compelling.”
China’s logistics market has proved popular with real estate investment managers in 2020 as well as international investors.
Whereas other commercial property markets have been badly hit by the Covid-19 pandemic, the rise in online shopping and internet usage has boosted the use of warehouses, data centres and cold storage facilities.
Meanwhile, China’s logistics real estate market has grown annually by 12% in the last five years while the number of real estate funds targetting the sector has doubled according to property investment manager CBRE.
Its investor intention survey carried out earlier this year found that 33% of respondents were looking for industrial and logistics assets in 2020, a 25% increase on the previous year.
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