LASALLE Investment Management (LaSalle), a global real estate investment manager, announced September 7 it has completed the global public offering of LaSalle Logiport REIT (LLR), raising newly issued equity capital of 48.5 billion yen (US$456 million) on the back of strong demand from Japanese institutional trusts, regional banks, international institutional investors and retail investors in Japan.
This marks the first global public offering of a Japanese real estate investment trust (J-REIT) since the start of the Covid-19 pandemic in early 2020.
LaSalle’s logistics-focused J-REIT, LLR, will use the net proceeds of its latest public offering to acquire ownership interests in four logistics facilities: Logiport Kawasaki Bay and Logiport Shinmoriya located in the Tokyo area as well as Logiport Amagasaki and Logiport Sakai located in the Osaka area.
With these acquisitions, LLR’s portfolio will consist of 18 assets, totalling 1.9 million square metres, with total assets under management of 317.8 billion yen.
“Robust growth in ecommerce and the drive for supply chain efficiencies, together with the institutionalization of logistics facilities as a real asset in Japan, continue to boost demand for modern logistics properties,’ says Keith Fujii, CEO and president of Japan at LaSalle Investment Management.
LaSalle has a long track record in Japanese logistics, having completed more than 2.36 million square metres in new development, 1.98 million square metres in new acquisitions, and 3.77 million square metres in leasing activity over the past 17 years.
Since its debut in February 2016, LLR has doubled its assets under management and increased enterprise value by 2.6 times. LaSalle currently manages over US$4 billion of logistics investments in Asia across key markets including Japan, Korea and China.
As of Q1 2020, on a global basis, LaSalle manages over US$65 billion of assets in private and public real estate property and debt investments.