ESR and Al Muhaidib Group to establish Saudi industrial and logistics platform targeting up to USD 5 billion of investments

• 50:50 joint venture targeting up to USD 5 billion in development and value-add acquisitions over the next five years
• Combines ESR's global real asset development and fund management platform with Al Muhaidib
• Group's development capabilities and track record proven by eight decades of operating experience in Saudi Arabia
• Pipeline of build-to-suit developments and strategic land holdings identified across key industrial and logistics markets in Saudi Arabia
• Structured to attract local, regional and global institutional capital into Saudi Arabia’s industrial and logistics sector

ESR Group Limited ("ESR"), a leading Asia-Pacific real asset owner and manager, and Al Muhaidib Group ("AMG"), one of the largest conglomerates in Saudi Arabia (the “Kingdom”), today announced the formation of a joint venture to develop, own and manage institutional-grade industrial and logistics real estate across key markets in the Kingdom.

The joint venture will target up to USD 5 billion of investments over the next five years, combining ESR’s development, asset management and capital formation expertise with AMG's strategic land holdings, operating businesses and deep local market knowledge. Activities will centre on key cities, including Riyadh, Jeddah, and Dammam, with the joint venture pursuing new developments and strategic value-add acquisitions across Saudi Arabia's industrial and logistics sector.

Demand for modern Grade A logistics facilities in Saudi Arabia continues to outpace available supply, supported by economic diversification, industrial expansion, evolving supply chains, and growing trade flows. The joint venture will develop build-to-suit facilities for businesses expanding in the Kingdom, alongside larger multi-phase logistics precincts with strategic connectivity to ports, airports, rail and industrial cities to support increasingly sophisticated multi-modal logistics requirements.