ESR and INA Expand Partnership to Develop New Logistics Hub in Indonesia
ESR, the Asia-Pacific focused real asset manager, together with the Indonesia Investment Authority (INA) and other capital partners, has committed to a joint investment in the construction of two modern, institutional-standard logistics facilities in Cikarang, Greater Jakarta. The facilities are intended to support the long-term growth of Indonesia’s logistics, manufacturing, and supply chain sectors.
The groundbreaking for ESR Cikarang Logistics Park 4 was held today. This Grade A industrial and logistics facility is strategically located within the Jababeka Industrial Estate. Targeted for completion in 2027, it is set to become the largest modern non-captive warehouse for lease in the Jababeka area.
Jai Mirpuri, Head of Southeast Asia at ESR, expressed optimism about strengthening the strategic partnership with INA following a recent successful investment realisation in Indonesia. He stated that Indonesia remains one of the most attractive markets in Southeast Asia, supported by strong fundamental growth.
“We continue to see high market demand from customers, both in the manufacturing and logistics sectors, and the construction of these new facilities in the Greater Jakarta area has been designed to meet their evolving needs. This development is strategically positioned to meet the demand of customers requiring larger-scale assets with higher specifications in strategic logistics locations, equipped with features supporting automation, operational efficiency, and sustainability,” Mirpuri said.
The presence of these facilities is expected to meet the high demand from international and regional third-party logistics (3PL) providers, as well as multinational manufacturers seeking locations with strong connectivity to industrial zones and supply chain networks in Indonesia.
In addition to ESR Cikarang Logistics Park 4, the investment includes the construction of ESR Cibitung Distribution Hub, a Grade A three-storey logistics facility targeted for completion in 2028. The ESR Cibitung Distribution Hub will be located in MM2100 Industrial Town, a strategic and well-established industrial estate in Cikarang, Bekasi Regency, and will operate to meet customer needs for modern warehousing specifically designed for regional manufacturing and distribution activities.