Wednesday, 14 November 2012
A total of 1,078,488 sq ft of leasing transactions were concluded in the quarter, including new leases and renewals
Goodman is continuing to expand its footprint in mainland China and with robust customer demand during the quarter, the Group completed 120,000 sqm of new developments, achieving 89% occupancy by completion.
The Group also commenced 260,000 sqm of new developments during the quarter. These newly commenced projects are 40% pre-committed, of which 103,000 sqm is a build-to-suit pre- commitment in Wuqing, Tianjin to a major e-retailer. The development is in close proximity to the previously announced 42,410 sqm pre-lease in Wuqing to major Chinese e-retailer, Moonbasa. The latest pre-leased facility will be developed in two phases, of which the first phase of 55,028 sqm has recently commenced with completion expected in August 2013.
The Group currently has 480,000 sqm of developments in progress, across seven projects and over 650,000 sqm of stabilised properties in China. Occupancy across the portfolio stands at 97% including recently completed developments.
Mr Philip Pearce, Goodman’s Managing Director, Greater China, said, “We are extremely pleased with the strong leasing success of our new developments. The signing of a second build-to-suit facility for an e-retailing customer demonstrates the strength of demand from the e- retailing sector and is testament to our reputation as a provider of high quality, flexible warehousing solutions.
“We continue to be confident of China’s economic outlook as strong domestic consumption prevails, which is in turn a key driver of demand for prime logistics and warehouse space.”
Goodman has a target development of 800,000 sqm over the next 12 months and a land bank/reserve in excess of 4 million sqm, which has the capacity to deliver 2.7 million sqm of prime logistics space over the next three years.
“We are delighted to have welcomed a number of new customers to our Hong Kong portfolio this quarter. Demand for prime industrial space remains robust, underpinned by strong market fundamentals and the persistent undersupply of new prime space,” Mr Pearce said.
He added, “What is even more encouraging is that our existing customers are not only renewing their leases, but are committing to more space as their businesses expand. We are looking for opportunities to add to our portfolio in Hong Kong, with the outlook for the industrial property market continuing to be positive.”
Goodman is the largest industrial property landlord in Hong Kong, with 14 stabilised properties. Occupancy stood at 98% as at the end of September 2012, with only 1.2%, or 115,547 sq ft of portfolio space available for lease.
For further information, please contact:
Marketing Director, Asia
Tel + 852 2249 3149
Citigate Dewe Rogerson
Tel +852 3103 0108
For more information, please go to www.goodman.com