ESR Group Limited (“ESR” or the “Company”, together with its subsidiaries as the “Group”; SEHK Stock Code: 1821), APAC’s largest real asset manager powered by the New Economy, has begun construction of ESR Itami Distribution Centre (“ESR Itami DC”), which is ESR’s 37th logistics facility in Japan and its seventh in the Kansai area. The project is expected to be completed in September 2024, with a total development cost of approximately JPY 11 billion.

ESR Itami DC is a four-storey multi-tenant facility with a total Gross Floor Area (GFA) of 29,999.61 sqm (9,075 tsubo). Sited just five kilometres away from the Osaka International Airport (Itami Airport) and well-connected to Ikeda interchange and Chugoku-Ikeda interchange, ESR Itami DC is strategically located within the Greater Osaka area and Osaka Central Business Districts. The national Route 171, which is in front of the facility, allows for efficient transportation to and from Kyoto and Kobe. The facility is close to key stations such as JR Itami, Hankyu Itami and JR Kita-Itami. In addition, the facility is within reach to many headquarters and factories of major automobile manufacturing, precision instrument related companies in Itami city, making it a wide area delivery base for the Greater Osaka area as well as all across Japan.

Stuart Gibson, ESR Group Co-founder and Co-CEO, said, “As a leading developer of modern and sustainable logistics facilities, we are delighted to announce the launch of ESR Itami DC, our fourth distribution centre in Hyogo Prefecture, after ESR Amagasaki DC and ESR Kawanishi DC 1 and 2, and the seventh in the Kansai area. Given the facility’s strategic location andflexible design, ESR Itami DC will be able to serve the growing investor demand for modern Japanese logistics facilities that are suitable for last-mile deliveries not only within the Kansai area, but also all across Japan. At ESR Group, we strive for co-existence and co-prosperity with the local community, and we will continue to develop best-in-class developments to bring long-term benefits to the communities where we operate.”

Designed with occupants in mind, ESR Itami DC will be built with human-centric features to support tenants in attracting and keeping the talent they need as well as improving the well-being of on-site employees and workforce productivity.

On the environmental front, ESR Itami DC will be built according to the most stringent green building standards, with the objective of attaining CASBEE A Rank certification. The facility will feature LED lighting throughout the facility, efficient heat pump air conditioners, water saving sanitary appliances, rooftop solar panels with a total capacity of approximately 700kW, and other green features, such as rooftop greenery for ecological benefits and aesthetic improvements.

ESR Itami DC will also include various disaster contingency measures, such as an emergency power system, which will allow it to function as a disaster prevention centre with cargo elevators, electric shutters, and restrooms remaining operational even during power outages. Our human-centric design features ensure a safe and resilient environment for tenants, workers, and the surrounding community.

As of 30 June 2023, ESR has a development work-in-progress of US$13.0 billion, the largest development workbook in APAC, providing clear visibility on future fee income. In 1H 2023, the Group achieved a record US$3.8 billion of development starts as well as accelerated US$2.2 billion in completions demonstrating its ability to deliver at scale. In Japan, ESR has a total AUM of US$29.9 billion and GFA of 4.7 million sqm as of 30 June 2023.