- Korea’s to start with logistics REIT lifted approximately US$650 million through pre-IPO investments and worldwide offering
- Too much to handle response from equally international and domestic buyers demonstrates strong market place appetite for public REITs with primary high-quality logistics belongings and steady returns
- More cements ESR Kendall Square as the dominant logistics real estate platform in Korea with more than US$7.2 billion of AUM
- ESR further more scales its built-in system of community and personal motor vehicles to speed up extensive-term expansion
SEOUL/HONG KONG – Media OutReach – 23 December 2020 – ESR Cayman Restricted (“ESR” or the “Company”, jointly with its subsidiaries as the “Group” SEHK Inventory Code: 1821), the biggest APAC concentrated logistics authentic estate platform, currently announced the profitable listing of ESR Kendall Square REIT Co., Ltd. (“ESR Kendall Sq. REIT” KRX Stock Code: 365550) on the KRX KOSPI Industry of the Korea Trade, marking the to start with publicly stated institutional good quality logistics asset focused real estate financial commitment belief (“REIT”) in Korea. With the completion of the world wide giving, ESR Kendall Sq. REIT has a portfolio with whole asset price of close to US$1.3 billion and a market place capitalisation of about US$650 million.
ESR Kendall Square REIT is sponsored by ESR Kendall Sq., a subsidiary of ESR, with key logistics facilities in Korea as its fundamental property. The preliminary portfolio is composed of 11 present day, institutional-quality logistics services generally positioned in the Larger Seoul Metropolitan Region, with a overall GFA of 684,095 sqm. Ten of these were not too long ago obtained, via a mixture of immediate asset purchases and as a result of the acquire of somewhere around 99% fairness fascination in 4 serious estate funds that individual particular of the properties, from funds managed by ESR Kendall Square. The acquisition of the 11th assets, the Anseong Logistics Park, is anticipated to be concluded by June 2021.
Thomas Nam, CEO of ESR Kendall Sq., mentioned, “This is a extremely thrilling time and significant milestone for ESR Kendall Square. The thriving listing of ESR Kendall Square REIT is a testament to the powerful portfolios of high quality belongings, traders and tenants that our staff has built by way of the several years. With the strong advancement of e-commerce pushed by a confluence of elements such as the pandemic, general public buyers have shown a developing appetite for high quality main assets that can generate stable, lengthy-term returns. Backed by our team’s unrivalled functionality and observe report in acquiring and taking care of institutional-quality properties, we are very well positioned to capitalise on the continued progress of e-commerce in buy to provide sound returns and worth to our traders and stakeholders.”
Leveraging its marriage with the Team, ESR Kendall Sq. REIT is predicted to have alternatives to get further homes managed by ESR Kendall Square and its affiliates. It strategies to repeatedly increase the worth of its investments by buying belongings in critical parts, getting into account the destinations, tenants and anticipated returns.
Jeffrey Shen and Stuart Gibson, Co-founders and Co-CEOs of ESR, mentioned, “We are incredibly proud of what ESR has obtained in the Korean market. As a single of the world’s most significant e-commerce markets, Korea has continuously sent ESR a solid general performance and set wonderful expectations for the business under the management of Thomas Nam and Jihun Kang. Many thanks to the lengthy-term aid of our cash associates and buyers, as perfectly as perseverance of our team, ESR has built a verified track file of robust progress across our community and non-public cars. We seem ahead to carrying this momentum into 2021 as we continue on to fortify our market presence and management placement in Korea and the APAC location.”
ESR has constructed a sturdy portfolio of greatest-in-course logistics properties throughout Korea, and now prospects the marketplace on a number of fronts with its exceptional capacity and track report in growth as very well as funds and asset management. It is the foremost proprietor of logistics inventory in the nation with the biggest development pipeline in the Seoul Metropolitan Location. As of 30 September 2020, the overall AUM and GFA of ESR’s Korea company had reached around US$7.2 billion and close to 3.3 million sqm, respectively.
Citigroup International Markets Korea Securities Limited, Morgan Stanley & Co. International Plc, Seoul Department and Korea Financial investment & Securities Co., Ltd. are the joint world wide coordinators and underwriters. Other co-administrators and underwriters taking portion in this world-wide giving contain NH Investment & Securities Co., Ltd., KB Securities Co., Ltd. and Samsung Securities Co., Ltd.
By GFA from 2019 to 2020