SEOUL – May 30, 2019 – CBRE Global Investors today announced it has acquired Logis Valley Ansan, a modern logistics warehouse located in Ansan City, Gyeonggi-do, South Korea, from local developer Sunkyung E&C.
CBRE Global Investors acquired the property through a dedicated fund vehicle. The seven-floor logistics facility, with a total gross floor area of 239,000 sqm located on 56,000 sqm of land, is expected to be completed in July 2019. The first six floors are equipped with ramps allowing container truck access while the top floor will be used for tenant offices, a canteen, a convenience store, a relaxation space and other tenant-supporting space. Due to mezzanine floor facilities added by the tenants, the total usable area for occupation will be 365,000 sqm, which represents the largest usable area for a single-property logistics facility in Korea.
Logis Valley Ansan has secured leases for nearly 65 percent of the total leasable area and expects to reach full occupancy by the building’s completion in July 2019.
CBRE Global Investors said, “The Shiwha Multi Techno Valley, where Logis Valley Ansan is located, is a strategic location that can accommodate one-day delivery within the Greater Seoul Area and offers access to a large supply of manpower. Despite a strong preference for the area, there has been a limited supply of industrial facilities. However, with the development of Logis Valley Ansan, the supply of warehouse facilities in the southwestern Gyeonggi region will be greatly expanded.”
Located within 10 km of the South-Ansan Interchange and West-Ansan Interchange, Logis Valley Ansan benefits from strong transport links to Seoul and the Greater Seoul area. In addition, once the Shiwha Multi Techno Valley Interchange and Seonggok Junction are completed, access to highways linking additional Greater Seoul areas will be improved.
Sunkyung E&C, an industrial facility-specialized construction company with a strong logistics center construction track record, is developing Logis Valley Ansan through its real estate developer subsidiary, Whumad, which has been managing the project for the past two years. Logis Valley Ansan is the second project in which SE&C has worked with CBRE Global Investors as a general contractor and co-investor. The first was Logis Valley West-Icheon, a four-floor logistics facility with a total gross floor area of 78,200 sqm adjacent to the West-Icheon Interchange of Jungbu Expressway. It is currently under construction through a separate CBRE Global Investors fund investment made in the second half of 2018 and will be completed in 2020.
In 2018, CBRE Global Investors signed a memorandum of understanding with Sunkyung E&C for the development and acquisition of both on-shore and off-shore logistics facilities and intends to continue investing in the logistics sector in Korea.
About CBRE Global Investors
CBRE Global Investors is a global real asset investment management firm with $107.2 billion in assets under management* as of March 31, 2019. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBRE). It harnesses the research, investment sourcing and other resources of the world’s largest commercial real estate services and investment firm (based on 2018 revenue) for the benefit of its investors. CBRE Group, Inc. has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com.
*Assets under management (AUM) refers to the fair market value of real asset-related investments with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice and which generally consist of investments in real assets; equity in funds and joint ventures; securities portfolios; operating companies and real asset-related loans. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real asset market, and its calculation of AUM may differ from the calculations of other asset managers.