GLP To Start GLP Misato III Development in Japan
·GLP Misato III, a 93,831 sqm multi-tenant development located in Greater Tokyo will begin construction in April 2012
·Strong indicative demand from prospective tenants for GLP Misato III
Singapore, 31 October 2011 - Global Logistic Properties Limited (“GLP”), the market leader in modern logistics facilities in China and Japan, today announced that it has commenced work on the 93,831 square metre GLP Misato III development, a new large-scale multi-tenant logistics facility located in Misato city, Saitama prefecture.
GLP Misato III is the first development project under the Japan Development Fund (“Fund”), a 50/50 joint venture between GLP and the Canada Pension Plan Investment Board (“CPPIB”) that was launched in September 2011. The Fund plans to invest USD$500 million (JPY 38 billion) of equity developing multi-tenant/build-to-suit facilities mainly in the Greater Tokyo and Osaka areas in Japan over the next three years. This also marks the third project for GLP in Misato, a major distribution centre in the Greater Tokyo metropolitan region.
GLP Misato III is a next-generation logistics facility with advanced features such as back-up power supply and the Pile Cap seismic isolation construction method , designed to ensure customers’ business continuity during disasters. In addition, as part of its sustainability initiatives, GLP is expecting to obtain LEED GOLD accreditation for the first time in Japan.
“Currently, operations of our distribution centres in the Misato area are very strong with vacancy at 0.8%, far below 5%, the average of the Tokyo metropolitan area. We expect strong demand for this development, as there has been no new supply of a large-scale multi-tenant facility in the Misato area for the past 3 years. Customers are already showing strong indicative interest in Misato III worth about 3 times the leasable area.” said Miki Masato, President of GLP Japan.
GLP has started leasing GLP Misato III. Construction will start April 2012 and completion in May 2013. Total estimated cost for this development is USD$155 million (JPY 11.8 billion). As the leading provider of logistics infrastructure, GLP will continue to actively push forward the development and management of logistics facilities that provide high functionality and sustainability, while responding to customers’ needs such as streamlining of the logistics network and the optimization of costs.
Appendix
GLP Misato III development project and the overview of the facility
Name of facility: GLP Misato III
Location: District 4 of the area subject to land rearrangement, south of Misato interchange
Total site area: approximately 38,901 sqm
Total floor area: approximately 93,831 sqm
Beginning of construction: April 2012 (planned)
Completion of construction: End of May 2013 (planned)
■ Planned development site
GLP Misato III is located next to the Misato interchange exit (Tokyo Gaikan Expressway/ Metropolitan Expressway No. 6 Misato Route/ Joban Expressway), about 1.7 km from Misato-chuo station of the Tsukuba Express and about 3.0 km from the Misato station of the JR Musashino line. Its location is highly advantageous as a strategic centre of the domestic logistics network as it is 20 km from the heart of Tokyo and is well linked to cover a wide area around Tokyo including the entire Kanto region.
■ Characteristics of the facility
GLP Misato III is planned to be developed as a multi-tenant facility consisting of 5 floors above ground built on a site of 38,901 sqm, with a total floor area 93,831 sqm. The facility will have 135 truck berths and 223 parking spaces for cars with each floor is equipped with 2 ramp ways (going up and down) allowing large vehicles to ride into the floors directly. This distribution facility with a large-scale warehouse space measuring 15,000 sqm can propose operations that will maximise the work efficiency of clients. Moreover, each floor can be divided into 3 areas starting from 4,000 sqm which accommodates needs of different scales.
■ Securing business continuity during a disaster
GLP has always been conscious of disaster response in its planning and management of the existing facilities such as GLP Yokohama and GLP Tokyo II. Learning from the damages of the Great East Japan Earthquake, GLP Misato III plans to further introduce the following elements in order to maintain its function as a logistics facility even at the time of a major disaster, providing business continuity to customers.
・ Adoption of a seismically isolated structure enabled by the Pile Cap seismic isolation construction method (patent pending) that functions even during a large earthquake.
・ Implementation of anti-flooding measures to protect the electric substation equipment from water damage such as intense rainfall or flooding.
・ Introduction of a groundwater supplying equipment.
・ Employment of a back-up power supply that makes it possible to use disaster control centre, office lighting, and electricity outlet as well as preserving the security function of the entire building at the time of a power failure.
■ Environmentally conscious facility planning (acquisition of LEED Gold certification and reduction of CO2 emissions in the building’s life cycle)
GLP focuses on environmentally conscious planning as part of its effort in the development of sustainable facilities and aims to acquire the first LEED Gold certification among the logistics facilities in Japan for GLP Misato III. LEED is a certification system developed and managed by the U.S. Green Building Council that evaluates the environmental performance of architecture according to a diverse set of criteria, with the aim of recognizing and disseminating energy-efficient and sustainable architectures. The acquisition of LEED certification is valuable as it not only makes contribution to the environment, but also reduces operating costs for customers, while making their employees proud of the facility they operate in.
・ Introduction of a solar power generation system to contribute to the environment with renewable energy.
・ Adoption of LEDs in the office and public spaces of the building to optimise energy efficiency.
・ Instalment of shower rooms and changing rooms to promote alternative means of transport to cars such as bicycles.
・ Application of heat reflective paint to the roof and use of interlocking blocks of vegetation for the parking spaces as a countermeasure to the formation of urban heat islands.
Moreover, the adoption of a seismically isolated structure and precast concrete makes it possible to streamline the construction work and increase the lifecycle of the building (an ordinary warehouse is serviceable for 50 years, whereas GLP Misato III can endure 100 years), leading to 12% yearly decrease of total emissions.
About Global Logistic Properties Limited (www.glprop.com)
Global Logistic Properties (GLP) is Asia’s largest provider of modern logistics facilities. It owns, manages and leases out 337 completed properties in 127 logistics parks spread across 27 major cities in China and Japan, forming an efficient logistics network with properties strategically located in key logistics hubs, industrial zones and urban distribution centres. By providing flexible solutions of Multi-tenant, Build-to-Suit and Sale-and-Leaseback, GLP is dedicated to improving the supply chain efficiency for strategic expansion goals of the most dynamic manufacturers, retailers and 3rd party logistics companies in the world. The Group was listed on the Mainboard of Singapore Exchange Securities Trading Limited on 18 October 2010 (Stock code: MC0.SI).
About GLP Japan (www.glprop.co.jp)
GLP Japan is the Japanese arm of Global Logistic Properties, the largest provider of logistics infrastructure in Asia, which manages 69 facilities in 7 cities to cover the major distribution centres of Japan. With a total floor area of more than 2.8 million sqm, GLP Japan is an important infrastructure that supports the lives of people and the economic activities in the city, providing logistics facilities that are highly functional as they are sustainable.
About The Canada Pension Plan Investment Board（www.cppib.ca）
The Canada Pension Plan Investment Board (CPPIB) is a professional investment management organization that invests the funds not needed by the Canada Pension Plan to pay current benefits on behalf of 17 million Canadian contributors and beneficiaries. In order to build a diversified portfolio of CPP assets, the CPPIB invests in public equities, private equities, real estate, inflation-linked bonds, infrastructure and fixed income instruments. Headquartered in Toronto, with offices in London and Hong Kong, the CPPIB is governed and managed independently of the Canada Pension Plan and at arm's length from governments. At June 30, 2011, the CPP Fund totaled $153.2 billion.
Issued by: Global Logistic Properties Limited
Investor relations & Media Team
Email: investor.relations@glprop.com
Ambika Goel, CFA
SVP- Capital Markets and Investor Relations
Tel: +65 6643 6372
Email: agoel@glprop.com
## END ##
