Blackstone and Abu Dhabi-based investment company Lunate have announced a strategic partnership that aims to invest up to US$5bn (£3.7bn) in warehouse assets across the Gulf Cooperation Council (GCC) region.
Under the partnership, the companies will establish Gulf Logistics Infrastructure Development Enterprise (GLIDE), a platform dedicated to the development, acquisition and management of logistics assets in the region.
GLIDE aims to accelerate logistics infrastructure development in the GCC region, comprising Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE. It will focus primarily on greenfield development, with some portfolio acquisitions and sale‑and‑leaseback transactions.
“The profound economic transformation underway in the GCC, driven by pro-growth policies, favourable demographic shifts and broad-based economic diversification, is creating powerful momentum for sectors like logistics,” commented Jon Gray, president and chief operating officer at Blackstone.
Demand for logistics in the GCC is supported by factors such as economic growth, rising e-commerce and increased manufacturing activity, Blackstone stated. However, it added that there is “a significant gap in the availability of Grade A logistics facilities… which is creating compelling investment opportunities in the region.”
Khalifa Al Suwaidi, managing partner at Lunate explained that GLIDE will offer its clients access to compelling investments in high-quality logistics assets and support the development of new infrastructure to drive growth across the GCC.
Additional strategic partners based in the Gulf region are also expected to participate in GLIDE, the companies said.
