GOODMAN Group, Japan Representative and Macquarie have established two wholesale funds to invest in logistics properties despite strained capital market conditions.
J-REP is a publicly listed logistics property company. Goodman and
To date $A106 million (¥6.15 billion) of committed equity has come from external investors and significant demand is still in due diligence.
The funds, Macquarie Goodman Japan Logistics Fund FCP-FIS will be managed by entities jointly owned by Goodman and Macquarie, and open to non- Japanese institutional investors, and J-REP Logistics Wholesale Fund will be managed by J-REP and open to Japanese institutional investors.
Both funds have rights of refusal over investment opportunities sourced by J-REP within
Goodman’s chief executive Gregory Goodman said this is another important step in the long term growth of J-REP and is consistent with the plans set out last year.
“Although capital market conditions have been difficult, we continue to make progress. The long term fundamentals of the Japanese logistics market remain attractive. As companies invest in their supply chains, it continues to support demand for modern well located premises,” he continued.
The funds have an initial investment in 15 assets valued at $A1.15 billion (¥66.7 billion) with a debt capacity of $A779 million and of the total equity of $A692 million (¥40 billion), approximately 70% is paid up front.
The first close equity has been raised from large investors based in
Goodman said the intention is to continue to invite new parties into the funds with a target of having external investors hold around 70%, representing $A484 million (¥28 billion) of the initial equity.
Australian Property Journal
