Investors are seeing the risks, but also the opportunities of the logistics sector. Warehousing their fears for the moment, they can see it's a good conduit to high-growth assets.
The ease of direct investments into property firms and the availability of niche sectors in the US have drawn asset owners such as Australia’s Aware Super and Korea’s Poba.
Asian insurers and pension funds are partnering up with logistics experts to strategically invest in logistics real estate across the globe.
Australian logistics prove a good defensive strategy for investors during the pandemic, with promising yields and a stable and transparent market.
Experts believe the move is opportune as the Singaporean sovereign wealth fund seeks to expand its positions in the country’s real estate and infrastructure sectors.
Fund managers and asset owners across Asia are open to investing into retail, opportunistic and distressed assets as they seek to offset generally declining property yields.