GLP widens presence in US with warehouse acquisition

Portfolio is worth $1.5bn.

With its aim to acquire a portfolio of industrial assets in the United States, Singapore mainboard-listed Global Logistic Properties Ltd. (GLP) agreed to acquire $1.5 billion (US$1.1billion) worth of warehouses from Hillwood Development Co.

Owning US$38 billion of industrial buildings globally, GLP expects to complete a US$700 million deal for fully leased properties in December, with the remaining US$400 million development portfolio to be acquired in phases upon completion and full lease-up.

According to GLP President Chuck Sullivan, the portfolio from Hillwood is one of the highest quality logistics real estate portfolios in the US.

"This transaction, which will be immediately accretive to GLP, demonstrates our ability to
leverage our existing platform to pursue enhanced network benefits in the strongest US
markets,” he said in a statement.

For him, this acquisition solidifies GLP's position as the second largest owner and operator of logistics facilities in the US with no additional overhead.

This transaction widens GLP’s footprint in the US to 187 million sq ft. GLP is the second largest logistics property owner and operator in the US and the largest in China, Japan and Brazil.