CANADA Pension Plan Investment Board (CPPIB) has invested HK$1.94 billion (US$250 million) to acquire an interest in Goodman Hong Kong Logistics Partnership. GHKLP is one of Goodman’s flagship logistics partnerships.

“There is tremendous opportunity for growth across the logistics sector in Hong Kong, which benefits from growing domestic consumption and the city’s strategic position as a gateway into China,” says Jimmy Phua, managing director, head of real estate investments Asia, CPPIB.

“We are pleased to deepen our excellent global relationship with Goodman through this investment in GHKLP, while at the same time increasing our exposure to the fast-growing logistics sector,” he adds.

At 30 September 2017, GHKLP had total assets of HK$28.7 billion invested across 13 assets, including a 50% interest in Goodman Interlink that is co-owned with CPPIB under a 50/50 JV.

“E-commerce will be one of the major drivers of growth in the logistics sector in Asia and Hong Kong is in a prime geographic position to benefit as more players enter the market,” Phua adds.