Couple days ago in September 2021, Everpine Capital and Kuntin Group have complete the fund-raising of Kuntin-Everpine Industrial Park Fund(hereinafter referred as the ‘Fund’), with the first phase of 300 million Chinese yuan and a total scale of 1 billion Chinese yuan. The fund aims to promote high-quality manufacturing industry, build characteristic industrial parks, promote industrial investment and add value to the industrial parks.

    The industrial chain shall be the core value of the whole industrial park. The fund will build a bridge to connect the scientific research chain and capital market, and ultimately reach the goal of ‘whole chain operation mode’. The fund also combines the regional economic development plans and investment attraction strategic policies to build the foundation for industrial ecological development and industrial agglomeration of the city. Kuntin-Everpine Industrial Park Fund adopts Co-GP mode, Everpine Capital as the fund manager, giving full play to fund raising, investment and comprehensive financial services for the fund. Kuntin Group as the asset manager, responsible for site selection, construction, business attraction, and operation for the industrial parks. Both sides will give full play to their respective abilities and advantages to ensure the developing of the industrial park, stable rent income and service income, and improve the daily operation and add value to the assets. At present, the fund has a number of reserved investment projects in Shanghai, Wuxi, Changzhou, Wuhan and other cities, with obvious location advantages and high value for investment.

    Park assets are important underlying assets of public REITs. According to the research report of CITIC Securities, from the experience of mature market, the income of REITs in industrial parks is relatively stable. Many of the overseas listed REITs contain industrial park assets. For example, Singapore (CLCT) is the largest China-focused REITs in Singapore, managed by Capitaland Group, and listed on the SGX in 2006. At present, 100% of its assets are located in China, including many industrial park assets. Under the COVID-19 epidemic, high-quality industrial park assets are performing better than retail assets.

    Jerry Lou, chairman of Everpine Capital, said, "Industrial parks will become the mainstream of Chinese public infrastructure REITs in the future. They are closely related to national industrial policies, scientific and technological innovation, also they have advantages of standardization and high maturity, and are the best investment products for valuation. By cooperating with top high-end industrial park operators such as Kuntin Group, Everpine Capital can carry out efficient management and asset operation of the industrial park, which can make the park assets have higher value-added space and higher investment returns. Everpine Capital will give constant attention and be optimistic about the investment of industrial parks."