U.S. capital of 120 million yuan purchases the Dashi industrial site from Far East Organization to develop a modern large-scale logistics facility | Lianhe Zaobao

American PGIM Real Estate and private equity firm Northstar Capital have acquired an industrial site in Tuas from Far East Organization, planning to redevelop it into a modern large-scale logistics facility to expand their local logistics asset portfolio. The buyer announced in a statement early Monday (February 2) that the site, located at 51 Tuas View Link, spans approximately 457,000 square feet and will be redeveloped into a five-story modern logistics facility with direct access for heavy vehicles to each floor, totaling approximately 1.1 million square feet of gross floor area. The buyer did not disclose the purchase price, but previous media reports indicated that the transaction price was SGD 121.1 million. Far East Organization announced its intention to sell this asset in May 2025, with a guide price of SGD 138 million at that time. The statement noted that the supply of land in Singapore's logistics sector remains tight, coupled with trade growth and retail consumption driving an increase in cargo volume, leading to sustained demand for modern logistics facilities. The site is located in the Tuas South Industrial District, adjacent to Tuas Port and the Tuas Biomedical Park, close to the Ayer Rajah Expressway and the Pan-Island Expressway, and near the Tuas Checkpoint, providing good regional and cross-border logistics advantages. Further Reading Denmark's DSV invests in logistics facilities and plans to hire over 600 employees in the next seven years ESR Group collaborates with Japanese companies to develop logistics facilities in Jurong Industrial Park to raise industry standards David Fassbender, Deputy Head of Real Estate for PGIM Asia Pacific and Senior Portfolio Manager for Asia Pacific Value-Added Real Estate Strategy, stated that as real estate values recover and supply remains tight, the market's demand for capital that meets sustainability requirements is increasing, and there are considerable income growth potentials in Asia Pacific value-added real estate investment opportunities. He mentioned that this project helps the group seize the scarce investment opportunities in large, high-quality logistics spaces in the Singapore market, creating long-term value for investors by enhancing operational efficiency. Bart Coenraads, Co-CEO of Northstar Capital, said that the project combines advantages of scale, transportation connectivity, and land use duration, meeting the evolving logistics needs of tenants. The two parties will collaborate to develop modern logistics facilities, supporting Singapore's continued consolidation as a regional logistics hub. PGIM pointed out that this acquisition continues the group's investment momentum in the Asia Pacific real estate market. The group aims to complete real estate transactions worth approximately USD 3 billion (about SGD 3.8 billion) in various sectors in the region by 2025