Mapletree launches first China onshore logistics fund with 1.5 billion yuan AUM

[SINGAPORE] Mapletree Investments has launched its first China logistics renminbi (RMB) fund with China Life Capital, with about 1.5 billion yuan (US$221.6 million) in assets under management.

The fund has secured commitments from international insurance companies and is expected to “generate stable recurring income and long-term value through proactive asset management and future monetisation initiatives”, said the group on Tuesday (Jul 28).

It has a portfolio of five stabilised logistics assets located in Nanjing, Wuxi and Chengdu, with a total leasable area of about 382,000 square metres (sq m) and an average occupancy rate of 95 per cent.

Located in the Yangtze River Delta and Chengdu-Chongqing economic regions, the assets are leased to third-party logistics providers, e-commerce operators and advanced manufacturing companies, with some tenants having occupied the properties for nearly a decade.

Two of the Wuxi assets in the portfolio were developed by the group before being sold to Mapletree Logistics Trust (MLT) in 2013 and 2020.

As part of its capital recycling strategy, MLT on Jul 22 proposed divesting the two warehouses to the new RMB fund for a combined 724 million yuan.

Goh Chye Boon, regional chief executive officer of Mapletree China, said: “We are encouraged by the improving investment environment in China’s real estate sector and the growing momentum in logistics park transactions.”

He added: “Going forward, we will continue to explore onshore syndication and recycling opportunities to optimise our portfolio and unlock value for investors.”

Earlier, Mapletree told The Business Times that the group is actively exploring additional capital recycling avenues, including potential C-Reit (China real estate investment trust) listings and alternative structures such as private Reits and quasi-Reits to further optimise its logistics portfolio.

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Capital recycled from these initiatives aims to strengthen the group’s financial resilience and provide flexibility to support its future growth, said Mapletree.

The launch follows the debut of the Mapletree China Logistics Investment Private Fund (MCLIP) in December 2022. The China-focused logistics private real estate fund attracted strong interest from institutional investors, including insurance companies and endowment funds.

As at end-March 2026, MCLIP’s portfolio comprised 43 Grade A logistics assets with a committed occupancy rate of 92 per cent.

Since entering China in 2006, Mapletree has developed and operated over 10 million sq m of logistics space across 130 properties nationwide.