Goldman Sachs launches Chinese infrastructure real estate joint venture

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FILE PHOTO: The Goldman Sachs company logo is seen in the company's space on the floor of the NYSE in New York

By Selena Li

HONG KONG (Reuters) – Goldman Sachs has launched a joint venture in China with local logistics company Sunjade in a bid to boost investment in Chinese logistics and infrastructure real estate assets, the U.S. bank said on Monday.

The bank is forming the new unit via its investment arm Goldman Sachs Asset Management, which has invested more than $50 billion globally in real estate businesses, according to a company statement.

It did not disclose the shareholding structure or capital commitment to the platform.

The joint venture, which focuses on projects located in China’s first-tier cities and surrounding areas, has invested in a 240,000-square-meter project with four institutional-grade warehouse assets located in Shanghai and its neighbouring area.

The U.S. bank said the new platform will benefit from China’s rising demand for new high-quality infrastructure assets, in particular institutional-quality warehousing space driven by e-commerce and the diversification of industrial requirements supported by government policies.

(Reporting by Selena Li; Editing by Kirsten Donovan)

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