Singapore’s sovereign wealth fund GIC is acquiring another logistics facility in Japan from Daiwa House Industry, one of the country’s largest real estate developers, for an undisclosed amount.
The warehouse, located in Yatomi City in Greater Nagoya metropolitan area, was developed and completed in 2022. It is near a major expressway with access to the Nagoya central business district and surrounding regions.
“As a young and modern asset, the facility is attractive to a wide range of tenants serving both the regional local and regional areas,” according to GIC’s announcement.
The transaction is not a first for GIC in Japan involving Daiwa House. In April, the Singapore sovereign wealth fund announced that it will buy a portfolio of six modern warehouses developed by Daiwa House Industry from Blackstone for more than $800 million.
The transaction was the largest real estate deal in Japan this year and consisted of 4 million square feet of warehouses across the country, according to an announcement.
GIC has been an investor in Japan for over three decades and has recently increased its deal activity as interest rates remain low. It has been investing mainly in the property market but has recently pushed into business acquisitions as well.
In March, Nikkei reported that GIC will jointly acquire Works Human Intelligence, a top human-resources software provider in Japan for about $2.6 billion.
Works Human develops and provides human-resources solutions, such as payroll and work-hours management. Its flagship software, Company, is used by 1,200 corporations, most of them large.
GIC is one of the three investment entities in Singapore that manage its reserves, alongside the Monetary Authority of Singapore (MAS) and Temasek.
Last year, the sovereign wealth fund was the world’s most active state investor, according to report released by industry specialist Global SWF. GIC spent over $39 billion in 72 deals, with over half of the allocation piled into real estate, with a clear bias towards logistics facilities.