Brookfield creates IDI Gazeley brand for logistics platform
Updated: 2014-06-04 14:36
Brookfield, one of the world's largest owners, operators and investors in best-inclass real estate, has created a new brand for its $3.5bn global logistics property platform called IDI Gazeley, which combines the industrial distribution facility operator Industrial Developments International (IDI) and the logistics warehouses and distribution parks developer Gazeley under a single corporate umbrella.
Under the new brand, the companies will own and operate a global industrial property portfolio across the USA, Canada, UK, France, Germany, Italy, Spain, Mexico and China. That portfolio comprises approximately 5.4 million square meters of assets under management and occupied industrial warehouse space with prime land sites to develop an additional 6.3 million square meters of distribution facilities, 1.58 million square meters of which is planned for 2014.
Going forward, IDI and Gazeley will bring together its diverse customer community from across the fast-moving consumer goods, retail, transport and logistics, automotive, industrial, pharmaceutical and manufacturing sectors under a single brand. Those customers include Walmart, P&G, Porsche, Amazon, eBay, Adidas, John Lewis, Tesco, H&M, DHL and Volkswagen.
Brookfield Property Partners and its institutional partners acquired Gazeley, the world’s longest-running specialist developer of logistics warehouses and distribution parks, in June 2013. IDI, a leading owner and operator of industrial distribution facilities across North America, is the result of two acquisitions by Brookfield Property Partners and its institutional partners in December 2012 and October 2013.
“Brookfield’s experience in managing and developing property assets globally, coupled with IDI and Gazeley’s already enviable long-term track records in their respective geographies, along with a backdrop of global economic recovery, positions the new brand well for long-term growth,” said Ric Clark, chief executive officer of the Brookfield Property Group.
Clark added: “The collective brand will have scale, experience and the backing of a strong parent. We intend to grow the platform rapidly through pursuing acquisitions and development opportunities in core operational markets and developing sectors.”
In early May, Gazeley made its first acquisition in China since being acquired by Brookfield, announcing plans to develop up to 77,000 square meters of sustainable logistics warehouse space at G. Park Wuxi, a 126,300 square-meter strategic development site. Wuxi is one of China’s fastest growing logistics hubs, situated in Jiangsu province at the center of the Yangtze River Delta region. The G. Park site is located in the national-level Xishan Economic and Technological Development Zone.
“The acquisition of this site in Wuxi represents a strong signal of intent in terms of Gazeley’s future plans, determination and commitment to China,” said Gazeley chief executive officer Pat McGillycuddy. “The country is still one of the world’s fastest growing consumer markets with an increasing need for high grade, sustainable warehousing space aimed at serving the supply chain.”
The development of G. Park Wuxi represents the start of a concerted period of investment that Gazeley is planning for China, which includes projects in Tianjin, Beijing, Nanjing, Wuhan and Chengdu, McGillycuddy said.
G. Park Wuxi's first development phase began in May with the speculative construction of a 24,000 square-meter warehouse due for completion in the second quarter of 2015. The remainder of the site will be developed in 2015 and available for customer build-to-suit requirements.
G. Park Wuxi, which will be built in line with Gazeley’s market-leading sustainable design template, will serve as a regional distribution point for businesses looking to expand their services into the Yangtze River Delta region as well as a city distribution site for companies serving the Wuxi and Suzhou market.
IDI Gazeley will also participate in China’s massive biannual logistics exhibition transport logistics China, which will be held from June 17-19 in Shanghai.