Dubai – Mubasher: Gulf Islamic Investment (GII) on Tuesday announced that it has acquired a new logistics portfolio of warehouses in Jebel Ali and Dubai Investment Park (DIP).

The transaction’s total cost amounted to AED 250 million, GII said in a statement.

The new portfolio comprises specialised and general warehousing assets leased out to global and regional logistics operator.

“We expect the logistics sector to continue to grow at a rapid pace on the back of stupendous growth in e-commerce demand, besides the UAE government initiatives such as the Expo 2020 and port capacity expansions that will continue to drive the demand for logistics assets,” Mohammed Al-Hassan, Co-founder and CEO of GII, said.

He added that GII’s assets in Dubai have long-term leases and an average return on invested capital of 10% per year.

“We are excited to have made our first investment in logistics real estate assets in UAE by investing into modern and specialised warehouse assets leased out to reputed logistic operators with very strong lease covenants. It is a good fit for our investment strategy of providing high cash on cash returns to our investors,” Pankaj Gupta, Co-founder and CEO of UAE, added.