CTP, the Amsterdam-based industrial-property company, has agreed terms to buy a roughly $500 million logistics portfolio and operating business in Vietnam, spanning the northern manufacturing centers around Hanoi, Bac Ninh and Hai Phong and the southern market around Ho Chi Minh City.
The proposed purchase of South-East Asia Logistics Partners, or SLP, would give CTP seven completed properties with 504,000 square meters of leasable space and six development sites. The seller is Ares Management, which owns SLP, CTP said in its November 9 announcement.
The deal is not complete. It remains subject to agreed conditions, including regulatory approvals, and CTP expects completion in the coming months. The company did not give a firm closing date or describe the financing arrangements in the announcement.
The purchase would change the scale of CTP’s Vietnamese business. It entered the country early this year by buying two development sites with potential for about 210,000 square meters of leasable space. SLP would add existing rental properties, a local leasing network and more than 55 employees in development, leasing and property management, rather than requiring CTP to build that operation from scratch.
The completed SLP buildings, delivered between 2022 and 2024, generate more than $23 million in stabilized annual net operating income, according to CTP. That is property operating income, not a forecast of net profit for CTP or the cash it would receive after financing costs.
The six development sites could add about 585,000 square meters, taking the acquired portfolio to roughly 1.1 million square meters if the pipeline is fully built. Two projects totaling 140,000 square meters are already under construction. The larger figure therefore includes future space, not just buildings ready for tenants today.
CTP said 59% of the portfolio is in northern Vietnam and 41% in the south. The existing tenant base includes J&T Express, Shopee Express and Nippon Express. Chief Executive Remon Vos said clients seeking to diversify production beyond China were part of the reason for expanding in Vietnam.
For CTP, the immediate attraction is an operating business with tenants and rental income alongside land for further growth. Whether the full development pipeline is delivered, when additional space begins earning rent and when the acquisition closes remain separate questions. CTP said its local team would continue under the SLP brand.
JBizNews Desk | Amsterdam
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