CBRE Global Investors, the Los Angeles-headquartered real estate investment manager, and Ivanhoé Cambridge, the real estate arm of Caisse de dépôt et placement du Québec, have committed to invest capital in the LOGOS China Logistics Club. The investment vehicle is managed by LOGOS China Investments, the Shanghai-based arm of Logos Property, a logistics real estate developer and fund manager that is partially owned by Macquarie Capital.
The specific equity investment by each firm was not disclosed. However, the commitments will allow the vehicle to make investments that could total up to $400 million, according to a company statement. The joint venture between LOGOS China and the two firms has been formed with the strategy of owning and developing modern logistics properties in key hubs serving Chinese cities, especially Shanghai.
“Our investment with LOGOS China supports our plan to grow our exposure to opportunities in the logistics sector in key markets such as Shanghai and Guangzhou,” said Rita-Rose Gagné, executive vice president, Growth Markets, for Ivanhoé Cambridge. “The team’s solid experience and expertise, the location of the assets and the strong development pipeline make LOGOS a partner of choice for Ivanhoé Cambridge.”
Adrian Baker, managing director, Asia Pacific, for CBRE Global Investment Partners, the unit within CBRE Global Investors which made its commitment, further added: “The LOGOS venture is well positioned to acquire and develop logistics assets in our preferred sub-markets across key Chinese cities.”
John Marsh, managing director and co-founder of LOGOS said: “Together with our new partners, LOGOS will seek to further expand on our existing specialist logistics real estate platform in China, and capitalize on our deep pipeline of new development and investment opportunities.”
LOGOS Property Group has $1 billion in assets and capital under management, with operations spread across China and Australia. Macquarie Capital is understood to have acquired a strategic interest in the company in 2014. Macquarie Capital also acted as the financial advisor to LOGOS China Group for the investment by CBRE Global Investors and Ivanhoé Cambridge.