KKR and its Korean affiliate, Kreate Asset Management, have confirmed the completion of their purchase of the Cheongna Logistics Center in Incheon, a transaction described as the largest single-asset logistics deal recorded in Korea.
The facility, completed in 2022, spans 4.6 million square feet and is positioned close to key routes serving the Greater Seoul metropolitan region. With e-commerce growth continuing to reshape supply chains, demand for large, technologically capable warehouses has intensified, and Cheongna Logistics Center is currently fully leased.
Under the terms of the acquisition, Kreate, which focuses on commercial real estate including logistics, offices, hospitality and rental housing, will take responsibility for day-to-day management and operations. KKR will work alongside the Korean manager on value creation plans while helping maintain the asset’s standards.
David Cheong, Head of Acquisitions of Asia Real Estate at KKR, said: “As distribution networks become more complex and modern logistics play a growing role in supporting Korea’s modern economy, we are delighted to invest in Cheongna Logistics Center, a leading logistics facility with sophisticated capabilities in a strategic location. We look forward to supporting its continued growth by leveraging our global real estate and logistics expertise alongside Kreate’s local capabilities, while further expanding our exposure in the logistics sector and through deepening our collaboration with Kreate.”
KKR is making the investment mainly through its Asia real estate strategy. The deal adds to the firm’s recent activity in the country, which has included Incheon Metro Logistics, Hwaseong Jegi Logistics Centre, Centerfield in Seoul’s Gangnam Business District, and Namsan Green Building in Seoul’s Central Business District.
It also builds on KKR’s broader logistics footprint across Asia, with previous investments including LOGISTEED in Japan and Reliance Logistics Group in India. The companies said the scale, location advantages and tenant demand at Cheongna Logistics Center position it as a core asset within Korea’s modern logistics network.
