14 January, 2019
Baker McKenzie has advised Canada Pension Plan Investment Board (“CPPIB”), one of the leading retirement funds in the world, on its cornerstone investment into GLP Japan Development Partners III (“GLP JDP III”), the largest ever Japan-focused logistics private real estate fund. CPPIB is the largest investor in GLP JDP III which is expected to reach JPY 625 billion (USD 5.5 billion) AUM when fully invested. This is the third Japan-focused logistics partnership between GLP and CPPIB, having previously established GLP Japan Development Venture I and II, GLP’s first two Japan-focused logistics joint ventures with CPPIB, which have reached full capacity.
GLP is one of the leading providers of modern logistics facilities in Japan. GLP JDP III will be seeded with GLP Sagamihara, a USD 1.2 billion long-term logistics development in Greater Tokyo that will be one of the largest modern logistics parks in Japan when completed.
Baker McKenzie fielded a top transactional team led by Edwin Wong and supported by a private funds team comprising Julia Chia and Nicola White. Special Counsel Tom Jenkins and Chelsea Chen also provided competition law support.
Commenting on the deal, Edwin Wong said: "It is a pleasure to have supported CPPIB on its cornerstone investment into GLP JDP III as it is reflective of CPPIB's robust strategy and commitment not only in Japan but for the rest of the Asia Pacific. We look forward to continuing to partner with CPPIB in its exciting growth plans in the region."
Over the past 18-24 months, Baker McKenzie's Asia Pacific Funds Group has advised CPPIB on a number of other significant real estate-related deals in the Asia Pacific – including CPPIB’s partnership with logistics real estate developer and operator ESR and its Seoul-based subsidiary Kendall Square Asset Management to invest USD 500 million in modern logistics facilities in South Korea; CPPIB’s partnership with Alpha Investment Partners Limited and Keppel Data Centres to invest up to USD 350 million alongside the Alpha Data Centre Fund to develop a portfolio of new and existing data centre assets in Asia Pacific and Europe; and CPPIB’s investments alongside Ivanhoé Cambridge with real estate logistics specialist LOGOS in the LOGOS Singapore Logistics Venture and LOGOS Indonesia Logistics Venture, which will focus on developing the logistics sectors in Singapore and Indonesia, respectively.
The transaction caps off a busy end to 2018 for Baker McKenzie's Asia Pacific Funds, Real Estate and REIT Groups having advised on a number of other prominent matters in the real estate sector including advising Weave Co-Living in connection with a US$181 million investment from Warburg Pincus; advising Link REIT on its disposal of 12 shopping centers in Hong Kong to a consortium led by Gaw Capital for HKD 12.01 billion; and advising Spring REIT on its successful defence against PAG Real Estate’s unsolicited takeover bid.
