ESR recaps $750m balance sheet portfolio in China

ESR Group has entered into an agreement with a leading global institutional investor to recap an 871,000-square-meter (9.4-million-square-foot) prime logistics and industrial portfolio from ESR’s balance sheet.

The transaction represents the largest self-developed balance sheet sell-down for ESR to date, reinforcing the group’s capital recycling strategy and asset-light approach.

The portfolio, currently 98 percent occupied, consists of nine completed logistics and industrial assets, spanning major logistics and industrial hubs across different regions in China, including the Yangtze River Delta Region, the Greater Bay Area and the Beijing-Tianjin-Hebei Region. With the transaction, the overall core portfolio managed by ESR with the Investor now expands to more than 1.4 million square meters (15.1 million square feet).

“This transaction also represents the largest sell-down of ESR self-developed balance sheet assets to date. It is in line with ESR’s focu