GLP announced strong 2022 operational results across its businesses in logistics real estate, data centers, renewable energy and related technologies. Key highlights include:
- Expanded logistics real estate footprint to 83 million SQM, a 10% yoy increase
- Signed 27 million SQM of new leases, a 12% yoy increase
- Grew cold storage business to over 3 million SQM globally
- Completed largest built-to-suit data center in China and secured sites to deliver over 600 MW additional power capacity in Japan
- Increased renewable energy capacity to 700 MW, a 68% yoy increase
- Added more than 150 green building and energy certifications to the portfolio
Ming Mei, Co-founder and CEO of GLP said: “GLP delivered strong operating performance across its global business in 2022 and is well-positioned for the year ahead. We are focused on scaling our data center and renewable energy business and continue to grow our core logistics business to meet sustained customer demand which has resulted in record leasing activity and an active development market. Sustainability continues to be top of mind as we design, build and operate our assets with environmental performance and innovation to minimize carbon emissions as well as support our customers’ sustainability performance targets.”
In 2022, logistics real estate fundamentals remained resilient as demand for modern logistics facilities increased, driven by global supply chain shifts and growing domestic consumption met by undersupply in key markets. GLP expanded its logistics real estate footprint to 83 million square meters (“SQM”) in 2022, completing 3 million SQM of developments and commencing 3.4 million SQM of new developments. A total of 27 million SQM of real estate was leased globally – a 12% yoy increase with a group lease ratio of 92%.
GLP continues to develop and build its logistics supply chain ecosystem through scaling its cold storage business. The cold chain market is expected to grow with the surge in demand for longer shelf-life and temperature-controlled logistics within the pharmaceuticals, chemicals, food, and beverage sectors. As of 2022, GLP delivered over 3 million SQM of cold storage space across our markets in Asia, Europe and the Americas and continues to identify opportunities to invest in this complementary sector.
GLP continues to expand its global customer base, partnering with customers to support their cross-border expansion plans as they enter and grow in new markets. Approximately 21% of GLP’s total net leasable area is let to global customers who utilize GLP facilities in more than one country, underpinned by sectors with strong demand for international growth such as e-commerce and express delivery services. GLP’s modern logistics facilities and value-adding property management services continue to attract repeat customers with steady customer lease renewals.
GLP launched its data center business in 2018 and aims to deliver efficient and resilient IT load capacity safely and securely to its customers across the globe. Data center fundamentals remain strong with rising demand for local hyperscale data center facilities to support digitization trends such as AI, IoT and cloud services across industries.
GLP is currently one of the leading independent data center operators in China with assets that will deliver approximately 1,400 MW of IT load capacity upon completion. During the year, GLP also secured the largest built-to-suit data center in China for a leading domestic internet company. To support sustainable growth of the industry, 100% of new GLP data centers in China are built to meet GB-A/T3+ standards and ODCC certifications.
In 2022, GLP announced plans to enter Japan’s data center market, targeting to invest more than $12 billion over the next five years to achieve 900 MW of power capacity. GLP has since made significant progress on seven development assets in Japan, London and Brazil, including securing prime sites for future data center campus developments in the Tokyo and Kansai regions which will provide approximately 600 MW of IT load. GLP expects to break ground on its first Japan data center campus in Greater Tokyo in 2023, with the first building expected to be ready for service from 2024.
GLP continues to aid the global energy transition and meet clean energy demand by operating and developing assets across the renewable energy value chain including solar energy, wind energy and energy storage solutions.
As of December 2022, GLP reached 700 MW of solar energy capacity from onsite solar panels installed across GLP and third-party properties in Asia, Europe and the Americas, resulting in a 68% yoy increase in total solar capacity.
In 2020, GLP launched a joint venture with Contemporary Amperex Technology Ltd. (“CATL”), the world’s leading battery provider and the largest maker of electric vehicle (“EV”) batteries to create a new platform aimed at expanding the use of new energy through energy-as-a-service offerings to advance sustainability in logistics and transportation. As of 2022, GCTL has rolled out five battery swap stations for heavy duty vehicles with 15 additional stations in the pipeline; each station services more than 150 vehicles per day.
GLP continues to make progress on its ESG commitments and targets with its focus on reducing carbon emissions from development and operations as well as supporting customers to meet their sustainability performance targets. We are measuring embodied carbon in our developments through life cycle assessments which help us better understand our impact and identify localized reduction opportunities during design and construction.
GLP Shanghai Baoshan Park received GLP’s first LEED EBOM Platinum certification and is one of the first logistics projects in China to receive this level of certification. Carbon emissions in the park were reduced by 2,500 tons of CO2e and the park has achieved carbon neutral operations.
GLP achieved approximately 150 new green building and energy certifications last year to reach 480 certifications as part of its 2022 global commitment to build to globally recognized green certification standards.
The company maintained its ‘Low’ risk rating and is a top ESG performer by Sustainalytics which measures a company’s exposure and management of industry specific material ESG risks.
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