Singapore’s sovereign wealth fund, GIC Monday said it had established a €300m ($324 million) partnership with Exeter Property Group, an industrial real estate investment management specialist, to invest in logistics properties in key European distribution hubs.
GIC said the investment will be in those logistics distribution hubs that offer easy access to motorways, water ports – both inland and sea faring – airports and rail nodes
Justifying the investment, it said that in future, the region would see an increasing demand for logistics space due to the growing trend of e-commerce, supply chain reorganisation and the increased use of third party logistics providers.
“The partnership intends to build a portfolio by targeting value-add opportunities in core locations. Exeter will manage the partnership and use its integrated real estate operator skills to acquire and actively manage the assets and implement value-add strategies including development and redevelopment to generate stable, long-term income returns,” GIC said in a statement.
GIC has been linked to a slew of major deals globally off late, but none of them have been announced yet.
DEALSTREETASIA recently reported that Formula One’s largest shareholder CVC Capital Partners has teamed up with Singapore’s sovereign wealth fund GIC Private Limited for a £2.5 billion bid for Center Parcs, the British-based leisure resorts operator.
GIC is also reported to be part of the consortium led by PGGM, the Dutch public sector pension fund, that is in talks to buy the world’s largest vehicle-leasing business from Volkswagen in a deal worth estimated around €3 billion ($3.2 billion).