Home > News > Alternatives > GIC Snaps Up Logistics Assets in India, UK
Alternatives

GIC Snaps Up Logistics Assets in India, UK

The Singapore sovereign wealth fund entered two joint ventures this month to acquire and develop warehouses and distribution centers in major commercial hubs.
By Sarah Min


Singapore sovereign wealth fund GIC, eyeing the continued rise of digital commerce, entered two joint ventures this month with real estate managers to snap up logistics assets in India and the United Kingdom. 

The institutional investor entered into a $750 million strategic partnership with real estate firm ESR Cayman Limited to develop industrial and logistics properties in India, as well as a nearly $1 billion joint venture with real estate firm Kennedy Wilson to acquire and manage logistics assets in Britain, and possibly in Ireland and Spain, GIC said in separate press releases. 

In India, GIC’s strategic partnership will focus on logistics assets in larger commercial hubs, and will start by seeding a roughly 2.2 million square foot center in a region near Mumbai and Thane. A local management team led by ESR’s Abhijit Malkani and Jai Mirpuri will develop and acquire assets on the ground. 

“GIC has been investing in India for more than a decade, and this investment is a testament to our confidence in the long-term potential of this market,” GIC Real Estate Chief Investment Officer Lee Kok Sun said in a statement. 

For more stories like this, sign up for the CIO Alert newsletter.

In the UK, a similar 80:20 joint venture will be seeded with a $220 million portfolio consisting of 18 real estate properties in the country that are owned and managed by Kennedy Wilson. Additional last-mile urban distribution center assets will be developed and acquired. 

The Singapore institutional investor said the investments are a part of a larger long-term bet on warehouses and distribution centers, a niche real estate asset that has remained resilient during the pandemic, thanks to shoppers who are increasingly shifting their spending online. 

“The logistics sector continues to be a long-term area of focus for GIC. We believe the urban logistics sub-market will benefit from positive fundamentals, due to increasing occupier demand driven by accelerating e-commerce adoption and changing supply chain management strategies,” the GIC Real Estate CIO said in a statement. 

Related Stories: 

Grim Outlook for Singapore Sovereign Wealth Fund after Poor Returns

Private Equity Goes on a Warehouse Buying Binge

Warehouses and Data Centers, Market Favorites, Have Downsides

Tags: , , , , , , , , , ,

Home > News > Asset Allocation > NYS Pension Fund Calls for Civil Rights Audit on Amazon
Asset Allocation

NYS Pension Fund Calls for Civil Rights Audit on Amazon

State comptroller calls for third-party audit to asses how retail giant’s policies affect equity, diversity, and inclusion.

By Michael Katz


The New York State Common Retirement Fund (NYSCRF) has filed a shareholder proposal calling for an independent audit to assess Amazon.com Inc.’s policies and practices on civil rights, equity, diversity, and inclusion, and how they affect the retail giant’s business.

The proposal requests that Amazon’s board of directors commission a racial equity audit to be conducted by an independent third party with input from civil rights organizations, employees, communities where Amazon operates, and other stakeholders. It also said a report on the audit should be made available to the public on Amazon’s website.

The proposal cited how events of the past year, such as the death of George Floyd, have “galvanized the movement for racial justice and equity.” It said that with media and policymakers focused on systemic racism, companies would “benefit from assessing the risks of products, services, and overall corporate practices that are or are perceived to be discriminatory, racist, or increasing inequalities.”

The proposal also noted that some of Amazon’s actions have been criticized as inconsistent with a pledge of solidarity the company had tweeted about fighting systemic racism.

For more stories like this, sign up for the CIO Alert newsletter.

These actions include a Black warehouse employee being fired and called “not smart or articulate” by Amazon’s general counsel. The worker has since filed a lawsuit against the company alleging discrimination against Black and Latino workers. The proposal also said Amazon’s “disproportionately Black and Latino” warehouse workers are paid low wages and are exposed to dangerous working conditions, including exposure to COVID-19.

“Amazon says it stands alongside those fighting systemic racism, yet we continue to see reports of workers facing racial discrimination, accusations of discriminatory wages, and the sale of products that promote hatred,” New York State Comptroller Thomas DiNapoli said in a statement.

Additionally, the proposal said Amazon has been criticized for “biased promotion practices, discriminatory employee surveillance, and hiding workplace injury rates,” and for having fulfillment and distribution facilities disproportionately located in nonwhite neighborhoods where they add to the local air pollution.

DiNapoli said civil rights and equity audits at Facebook and Starbucks conducted in the wake of controversies helped those companies make improvements. The proposal recommends that these be used as models for Amazon.

“Corporate America can only benefit by joining the ongoing national reckoning over racial injustice and confronting institutionalized inequality,” DiNapoli said. “Amazon needs an unbiased look at how it’s addressing racial justice and equity, just as other major corporations have.”

Related Stories:

New York State Pension Fund Aims to Be Carbon Net Zero by 2040

World’s Largest Pension Funds’ AUM Up 8% in 2019

New York Comptroller, Colorado Pension Fund Named Lead Plaintiffs in Boeing Suit

Tags: , , , , , ,

«