CapitaLand Investment buys Jurong site to build $260 million automated logistics facility
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An artists' impression of the Omega 1 Singapore facility at 19 Gul Lane in Jurong.
PHOTO: CAPITALAND INVESTMENT
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SINGAPORE - CapitaLand Investment Limited (CLI) on Jan 8 announced plans for its regional fund to develop a $260 million automated logistics facility in Singapore.
It also announced a minority investment in smart logistics infrastructure company, Ally Logistic Property (ALP), which will lease the facility.
CLI’s CapitaLand South-east Asia Logistics Fund (CSLF) has acquired a 5.1ha site at 19 Gul Lane in the Jurong Industrial Estate to develop the project – Omega 1 Singapore.
The five-storey facility is set to be completed in 2028 and will have a gross floor area of 71,000 sq m. It will also be equipped with robotics, as well as an automated storage and retrieval system capable of handling about 60,000 pallet positions.
Ms Patricia Goh, CLI’s chief executive of South-east Asia and global head of logistics and self-storage, private funds, said that the move is a strategic response to demand for “modern, automated logistics solutions across the region”.
This demand, she said, has been driven by growth in digitally enabled consumption, an ageing population, rising labour costs and supply chain rationalisation.
Concurrent with the development, CLI has acquired a minority stake in ALP, a smart logistics infrastructure firm based in Asia.
Upon completion of Omega 1 Singapore, the facility will be fully leased to ALP under a master lease agreement. The deal includes built-in rent escalation, which CLI said will provide CSLF investors with stable and growing income.
Over the past two years, CLI has deployed about $500 million into logistics developments across South-east Asia.
Following the Gul Lane transaction, the geographical composition of CSLF’s portfolio will shift, with Singapore assets now accounting for 55 per cent of its total assets under management. The remainder of the fund’s portfolio is located in Thailand and Vietnam.
The fund’s other major projects include Thailand’s Omega 1 Bang Na, a 20ha smart logistics campus in Bangkok, with Phase 1 expected to complete in mid-2026.
The fund also has a ready-built factory at Song Khoai Industrial Park in Quang Ninh, Vietnam, which broke ground in September 2025 and is targeting completion by the first half of 2026.
Shares in CLI rose 2.16 per cent, or six cents, to $2.84 on Jan 8. THE BUSINESS TIMES
