CapitaLand Investment Enhances Logistics Operations in Asia-Pacific
On January 8, 2026, in a significant announcement, CapitaLand Investment Limited (CLI), one of the world's leading real asset managers, unveiled two major initiatives aimed at accelerating the growth of its logistics platform in the Asia-Pacific region (APAC). As a frontrunner in modern smart logistics infrastructure in Asia, CLI has made a strategic investment in Ally Logistic Property (ALP), a capital partner of the CapitaLand Southeast Asia Logistics Fund (CSLF), by acquiring a minority stake. This investment is anticipated to enhance CLI's competitive edge and facilitate expansion into new growth markets including Japan, Australia, and the United States.
The partnership was formalized at a signing ceremony attended by notable executives, including CLI Group CEO Lee Chee Koon and ALP co-founder and CEO Charlie Chang. The collaboration is seen as an opportunity to merge ALP's extensive expertise in logistics automation with CLI's capabilities in fund management, financing, and project sourcing.
Simultaneously, CSLF secured 5.1 hectares of land in Singapore to develop an automated logistics facility named "OMEGA 1 Singapore," with an estimated total development cost of SGD 260 million. Patricia Goh, CLI's CEO for Southeast Asia and Global Head of Logistics & Self-Storage Private Fund, stated, "The Asia-Pacific region is experiencing remarkable growth in logistics, with a projected annual growth rate of 15.2% from 2024 to 2030. This growth is driven by structural factors such as digitalization, rising labor costs, and supply chain streamlining, all propelling demand for modern automated logistics solutions."
In the past two years alone, CLI has invested approximately SGD 500 million into logistics facility developments across Southeast Asia, accelerating the expansion of its regional platform. Goh added, "The partnership with ALP enables us to capitalize on their expertise in logistics automation and our strengths in fund management, allowing us to capture new growth opportunities throughout the broader Asia-Pacific region."
Charlie Chang expressed his enthusiasm for the partnership, stating, "We are thrilled to expand our long-term relationship with CLI through this strategic investment. ALP's end-to-end capabilities in real estate development, automation, operation, and maintenance are a critical differentiator for us. Our OMEGA platform integrates AI-driven multi-tenant needs processing, advanced robotics, and proprietary technology to provide a one-stop smart logistics solution across the supply chain, reducing inefficiencies in operations. We look forward to leveraging CLI's global resources to accelerate our ambitions for ambitious expansion in the Asia-Pacific region and beyond."
Development of OMEGA 1 Singapore
OMEGA 1 Singapore will be located at 19 Gul Lane within the well-established Jurong Industrial Estate, an area with a robust operational occupancy rate of over 90% for the past decade, projected to exceed 96% by the end of 2024. This logistics facility is ideally positioned as a strategic hub for distribution within Singapore and across the Asia region, given its seamless access to key infrastructures such as major highways, Tuas Checkpoint, Jurong Port, and Tuas Mega Port.
Upon its completion in 2028, the five-story facility will span 71,000 square meters and accommodate approximately 60,000 pallet spaces. OMEGA 1 Singapore will be fully leased to ALP under a long-term master lease agreement with rental increase clauses, ensuring stable and growing returns for CSLF investors. The facility will utilize cutting-edge technologies, including robotics, automated warehouse systems, and Autonomous Guided Vehicles (AGV), to achieve efficient end-to-end inventory management. Additionally, it aims to incorporate environmentally friendly design elements and sustainable operational processes, targeting the Green Mark Gold Plus certification from the Singapore Building and Construction Authority (BCA).
CapitaLand Southeast Asia Logistics Fund Portfolio
Established in 2022, CSLF is CLI's first logistics-focused fund in Southeast Asia, aiming to invest in and develop smart logistics assets in the region. The acquisition of the OMEGA 1 development project in Singapore is expected to further enhance the geographical diversity of its portfolio, with Singapore accounting for 55% of its total assets under management, while the remainder is spread across Thailand and Vietnam.
In 2023, CSLF acquired 20 hectares of land in the Greater Bangkok area of Thailand to develop the OMEGA 1 Bang Na smart logistics campus, which upon completion will be the largest logistics campus in Thailand. Featuring a total floor area of over 2 million square feet, this campus will include two buildings equipped with automated storage systems (AS/RS) capable of handling both dry and refrigerated storage. The first phase is anticipated to be completed by mid-2026.
In Vietnam, CSLF is set to begin construction in September 2025 on ready-built factories in the Song Khoai industrial zone in Quang Ninh province. Designed to establish new standards for modern industrial infrastructure, these facilities will offer plug-and-play spaces, enabling manufacturing clients to reduce initial investment costs, shorten the time to market, and seamlessly commence operations. Development will occur in phases, with completion expected in the first half of 2026.
Conclusion
In summary, CapitaLand Investment is taking significant strides in enhancing its logistics operations across the Asia-Pacific region through strategic partnerships and investments in automated solutions. With the OMEGA 1 development and collaborations with industry leaders like Ally Logistic Property, CLI is well-positioned to capitalize on the increasing demands for efficient logistics infrastructure while driving growth and innovation in the sector.