Goodman Group has sold seven logistics assets in China to Everbright Group, a Chinese conglomerate, as the company continues to reposition its assets to concentrate on key centes.
The value of the transaction, which closed late last week, was not disclosed.
The latest disposal came less than a month after Goodman Group agreed to sell 24 logistics facilities in Poland, France and Germany to Blackstone.
The US group acquired the assets on behalf of the Blackstone Property Partners Europe lower Fund 2.
A Goodman source confirmed the sale of the Chinese and European sales.
The value of both transactions is being kept confidential.
However, 91传媒在线 understands that Blackstone paid 鈥渘orth of 鈧�500m鈥� for the 24 logistics facilities.
In the latest transaction in China, handled by JLL in Shanghai, Goodman sold the facilities located regional Chinese cities of Wuxi, Kunshan and Jiaxing.
91传媒在线 understands that the portfolio is made up of assets held on Goodman鈥檚 balance sheet and from the Goodman China Logistics Partnership, a joint venture between Goodman (20%) and CPPIB (80%).
The partnership was set up in 2008.
Stuart Ross, head of industrial at JLL, Shanghai, told 91传媒在线 that demand for the properties was very strong.
鈥淚nvestors consider assets developed by groups like Goodman as core investment and these are now trading regularly at sub-6% yield.鈥�
In 2015, JLL sold four Goodman assets.
He said there is now a broader group of buyers, some coming out of commercial and retail sector to invest in logistics.
Ross said the demand is fuelled by the strong growth in warehousing, e-commerce and third party logistics.
In December, Goodman reiterated its commitment to China and its gateway cities of Shanghai, Beijing, Shenzhen, Chongqing and Guangzhou.
It said that with new opportunities and its existing land bank, Goodman will double its exposure to China in the medium term, when portfolio will grow to more than 5m sqm.
Goodman first entered the China market in 2001.
Currently, the group鈥檚 total portfolio in China is valued at US$1.8bn (鈧�1.5bn), comprising of more than 2.4m sqm.
During 2017, Goodman completed several new projects in Shanghai, Beijing, Chongqing and Shenzhen.
In the December update, Kristoffer Harvey, Goodman Greater China鈥檚 CEO, said e-commerce continued to be a major driver of growth for the group鈥檚 business in China.
Its portfolio is virtually fully leased with a 98% occupancy rate.
