Global Logistic Properties Ltd. (GLP), a Singapore-listed firm, is establishing a new US$7 billion China-focused logistics infrastructure fund along with other investors, the Wall Street Journal reported.
GLP will hold 56 percent stake in the CLF II fund, while the rest will be taken by global pension and sovereign-wealth funds.
It marks GLP’s second such China-focused fund and also its biggest. The previous fund, CLF I, had been just US$3 billion.
GLP, which is the largest provider of modern logistics warehouses in China, said the new fund plans to start acquiring land later this year and begin construction of new projects in April 2016.
It will develop 13 million square meters of space over four years.
Currently, GLP has 11.8 million square meters of completed facilities in China, which was financed by the previous CLF I fund, according to the report.
There is growing demand for warehouse space from clothing retailers, pharmaceutical firms and food chains, GLP’s chief executive Ming Z. Mei was quoted as saying.
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