By: timothy.tay@edgeprop.sg | Posted on: May 06, 2021

SINGAPORE (EDGEPROP) - Real estate investment trust ESR-REIT has acquired a warehouse facility at 46A Tanjong Penjuru, called Global Trade Logistics Centre, from Montview Investments. CBRE Industrial & Logistics Singapore represented the seller in the transaction. According to an SGX filing by ESR-REIT, the purchase consideration amounts to $112 million.

The property is a five-storey industrial development with a gross floor area of about 524,000 sq ft. The space features flexible floorplates that cater to warehouse and logistics users.


Global Trade Logistics Centre has a 30-year lease term from JTC commencing on 1 May 2006, and an option to renew for a further term of 14 years. (Picture: CBRE)

“Global Trade Logistics Centre is a highly specified ramp-up logistics facility that offers excellent connectivity to the existing Jurong and upcoming Tuas seaports, as well as the Central Business District. Underpinned by a fantastic tenant roster, GTLC is fully occupied and always enjoys strong demand from a wide variety of logistics users,” says Rimon Ambarchi, head of Industrial & Logistics, Singapore & Southeast Asia at CBRE, who was part of the team that brokered the deal.

Read more: Industrial property prices fall 0.4% in 1Q2020 as industrialists shelve expansion plans

Demand for logistics assets has been growing over the past few months, says Ambarchi, boosted by the fact that occupancy rates for Grade A warehouse assets in Singapore has been close to 100% since early 2020.

“These assets generate superior defensive cash flows in a time of uncertainty and their appeal is further enhanced by the growing adoption of e-commerce and companies,” he says, and expects demand and rents of logistics assets to continue to climb over the foreseeable future.


Source: https://www.edgeprop.sg/property-news/esr-reit-acquires-global-trade-logistics-centre-jurong-east-112-mil?utm_source=Facebook&utm_medium=article&utm_campaign=Echo


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