Broofield's USD 450 million Logistics Deal

While EXPO Real was sobering, Brookfield’s USD 450 million commitment signalled where global portfolios are starting to move.

Large real estate capital usually arrives after the occupiers, and the occupiers follow changing business strategies founded in opportunities.

Many takeaways of EXPO REAL (Messe München) last week mentioned the tricky environment in our industry. Only a few covered one of the main reasons for it: industries are reorganising their supply chains as we speak, and their portfolios move with them.

In the same week, Brookfield bought eight logistics parks from ESR in India. Around 10.5 million sq ft, 98% leased, and its first step into Indian logistics, with several global investors reportedly bidding.

Investors compete like that when the occupiers are already there and more are coming. For many European, East Asian, and US companies, India is becoming a sales market and a sourcing base at the same time.

For corporate real estate teams, this is the part that matters. When the business strategy moves towards India, the portfolio has to follow, and long-term capital is securing the best space now. Several markets are already supply constraint, and scarcity can become an issue.

I think opportunities exist in both markets. But at home, they sit in the portfolio companies already have, and in deciding what it needs to become.

#realestate #corporaterealestate #india #brookfield #europe #exporeal