Goodman and CPPIB increase China exposure to $1.25b, acquire nine projects
Goodman Group and Canada Pension Plan Investment Board have announced a $1.25 billion increase in their equity allocation to the Goodman China Logistics Partnership.
The equity allocation will be made on an 80-20 basis, with CPPIB committing $1 billion and Goodman committing $250 million, consistent with the partnership's equity structure.
GCLP was established by Goodman and CPPIB in 2009 to own and develop logistics assets in China. GCLP is seeing continued strong demand in core logistics markets, including in the greater Shanghai and Beijing regions and key western China markets, driven primarily by e-commerce and domestic consumption.
The partnership will continue to focus on key locations, where land constraints and demand are strongest.
Separately, GCLP will acquire nine projects, including land, from Goodman Group, with an end build-out value in excess of $650 million.
GCLP was established in 2009 with an initial equity com