Dec 30 : Global funding agency KKR and its affiliated Korean asset supervisor, Kreate Asset Management, stated on Tuesday they’ve bought Cheongna Logistics Center, in what they referred to as South Korea’s largest single-asset logistics deal.
The corporations didn’t disclose the monetary phrases of the transaction.
One individual with information of the matter stated the deal would worth the Incheon-based logistics asset at barely greater than 1 trillion received ($696 million), together with debt. The supply couldn’t be named as the knowledge was confidential.
Brookfield Asset Management, which bought the logistics centre to the KKR-led consortium, stated in a separate assertion on Tuesday it has accomplished the sale, with out disclosing monetary particulars.
The 4.6-million-square-foot facility, accomplished in 2022, is absolutely leased and strategically positioned throughout the Greater Seoul metropolitan space, KKR stated.
“Modern logistics facilities play an increasingly critical role in supporting Korea’s rapidly evolving, e-commerce-driven economy as demand for large, high-specification warehouses that can support sophisticated logistics and fulfillment operations continues to grow,” KKR stated in its assertion.
The acquisition was carried out by way of funds managed by KKR and Kreate, with the latter taking up administration and operations of the property, the New York-headquartered agency stated in the discharge.
KKR received a bidding course of for the asset, based on native media.
The funding was made primarily by way of KKR’s Asia actual property technique and provides to its rising footprint in South Korea.
Previous investments embody Incheon Metro Logistics, a large-scale warehouse growth in Incheon, and Hwaseong Jegi Logistics Centre, a significant facility in a key logistics hub.
KKR has additionally been energetic in logistics throughout Asia, with investments in LOGISTEED, a number one third-party logistics supplier in Japan, and Reliance Logistics Group in India.