Global industrial space provider AMB Property Corp. is developing its first project in South Korea, the company announced this week.
San Francisco-based AMB (NYSE: AMB) is constructing the 363,000 sq. ft. AMB ICN Logistics Center adjacent to the cargo terminal area at Incheon International Airport, west of Seoul. The airport is currently undergoing an expansion and is expected to have cargo handling capacity of 4.5 million metric tons by 2008.
“With this development, AMB brings Class-A airport logistics product to South Korea, building on the momentum that the government and airport initiated by making significant infrastructure investments in Incheon and its International Airport,” said Guy Jaquier, AMB’s president, Europe & Asia. “Further, as the first third-party development at Incheon, we will be meeting pent-up demand for logistics space.”
AMB is developing the logistics center with Hyundai Engineering & Construction serving as general contractor. Construction is expected to be completed by the end of 2007.
“As the world’s second largest airport as measured by cargo volumes, Incheon International is the primary logistics hub serving Korea and greater Northeast Asia. Our expansion into this market is a logical step as we continue to offer modern distribution facilities in major gateway markets throughout Asia, Europe and North America,” said Hamid R. Moghadam, AMB chairman and CEO. “AMB is bringing its international standards for strategically-located and functional facilities to South Korea, as the country seeks to enhance its competitiveness in the logistics sector.”
Incheon International Airport took first place in the world’s airport service ranking in both 2006 and 2007, according to Jae Hee Lee, CEO of Incheon International Airport Corp.
AMB’s Asia portfolio is comprised of operating and development real estate in China, Japan, Singapore and South Korea. The portfolio totals approximately 9 million sq. ft. The company has offices in Japan, China and Singapore, and is opening an office in Seoul to oversee the development of AMB ICN Logistics Center and to initiate additional investments in South Korea.