Allianz Real Estate, the property arm of the German insurer, has purchased a 50% stake in a 375,000 sq.m. logistics portfolio in China from private equity property firm Gaw Capital Partners and logistics specialist Vialog China.
The portfolio features five assets across the cities of Shanghai, Jiaxing, Foshan, Wuhan and Shenyang, according to an announcement.
The acquisition price was not disclosed. The properties, developed between 2016 and 2017, are occupied by tenants including online retailer Vipshop and hypermarket chain Carrefour.
“Demand for logistics in China is underpinned by growth in e-commerce, middle class accession and infrastructure build-out,” said Rushabh Desai, CEO Asia-Pacific at Allianz RE.
“We already have exposure to logistics development portfolio in China, getting access to a core portfolio provides a nice balance for our investors.”
Vialog China and Gaw Capital Partners will hold the remaining interest in the portfolio and manage the assets.
Allianz RE has US$67.5bn of assets under management, while Gaw Capital holds $18.3bn of AUM.