JD.Com, two other firms ‘plan $1bn REIT’

The property investment arm of Chinese e-commerce giant JD.Com and two other firms plan to launch a Singapore-based real estate investment trust (REIT) with assets potentially valued at more than $1 billion, said two sources with knowledge of the matter.

- YANTOULTRA NGUI KANE WU

JD Property, the unlisted infrastructure investment and asset management platform of JD.Com, is setting up the REIT with Swiss investment firm Partners Group and EZA Hill Property, which is backed by Asian investment firm Hillhouse, the sources said.

The planned REIT could be listed on the Singapore Exchange as soon as next year, added the sources, who declined to be named as the matter is private. The REIT plan has not been reported previously.

If successful, the JD Property-backed REIT would be one of the largest new entrants in Singapore's REIT space in more than a year, signalling growing confidence in the sector and underscoring the increasing role of Chinese capital in Southeast Asia.

The setting up of the planned REIT comes after JD Property, Partners Group and EZA Hill jointly purchased four logistics assets from CapitaLand Ascendas REIT for S$306 million ($238.56 million) this month, the sources said.