Denmark鈥檚 PFA Pension and Canada鈥檚 Ivanho茅 Cambridge are participating in a new investment vehicle, LOGOS China Logistics Venture 3, which will have a total investment capacity of US$850m (鈧�561m).
The move is PFA鈥檚 first direct investment foray into Asia-Pacific. PFA is an investor in the Prime Property Fund Asia, an open-ended core fund run by Morgan Stanley Real Estate Investing (MSREI).
Michael Bruhn, Head of Real Estate, PFA Pension, said in a statement today: 鈥淧FA has strong conviction on the growth of the logistics sector in Asia, particularly in China.
鈥淭he Chinese logistics sector continues to offer strong absorption and growth rates due to a long-term undersupply of modern logistics facilities.鈥�
Establishment of this latest venture also strengthens the relationship between LOGOS and Ivanho茅 Cambridge. Since taking a strategic stake in LOGOS in March 2016, Ivanhoe Cambridge has invested in vehicles LOGOS has established to invest in Singapore, Indonesia, India, Australia and China.
Rita-Rose Gagn茅, Ivanhoe Cambridge president for growth markets, said the decision to increase allocation to China 鈥渞eaffirms our view of the growth potential鈥�.
The venture will focus on the development of high-quality logistics facilities in four regions, covering north, east, south and mid-west China.
The vehicle reflects an extension of the LOGOS China investment mandate beyond Greater Shanghai towards the creation of a national platform for the group.
鈥淭he establishment of LOGOS鈥� third China venture is a testament to the logistics growth story, a key beneficiary of the e-commerce boom in China,鈥� said John Marsh, LOGOS鈥� joint managing director.
