Jardine Matheson’s Astra Buys Indonesian Shed Builder MMP in $202M Deal

Indonesia’s Astra Property, the real estate division of Jardine Matheson’s Astra conglomerate, has acquired a 83.67 percent stake in warehouse specialist Mega Manunggal Property for IDR 3.35 trillion ($202 million).

The transaction values MMP at $241 million on an equity basis and gives Astra control of the Jakarta-based builder’s portfolio of 13 “mega-sized” sheds across the island of Java spanning a total net leasable area of 546,000 square metres (5.9 million square feet).

Astra will carry out a mandatory tender offer for the remaining MMP shares in accordance with market regulations, the company said Wednesday in a release. The deal seeks to combine MMP’s warehouse expertise with Astra’s business network to take advantage of Indonesia’s rapidly expanding industrial sector.

“Guided by our long-term strategic vision, we are committed to developing a modern, efficient and sustainable ecosystem,” said Wibowo Muljono, president director of Astra Property.

ESR Partnership

MMP’s properties are occupied by tenants from a wide range of sectors, including e-commerce, fast-moving consumer goods and third-party logistics. The builder also has 45 hectares (111 acres) of landbank across Greater Jakarta and Surabaya earmarked for future development.

“MMP is therefore expected to provide both a recurring income stream and an asset base that would enable it to pursue capital recycling and funds management for third-party capital in future,” Astra Property said.

The latest addition to the Jardines stable comes after Astra Property in March partnered with Asian logistics titan ESR to buy two warehouses in the Cikarang industrial hub east of Jakarta.

Located on 17.3 hectares of land in the GIIC and KITIC industrial zones, Cikarang Logistics Parks 1 and 2 span a total net leasable area of 108,000 square metres and are fully tenanted, Astra Property said.

The sheds were developed by a 2023-era partnership comprising ESR, Japan’s Mitsubishi Corp and the Indonesia Investment Authority. The venture marked the first real estate investment for Indonesia’s sovereign wealth fund and the first logistics assets in the country for Mitsubishi’s MC Urban Development Indonesia, a wholly owned local unit of the Japanese conglomerate.

Chinese Firms Pounce

Tenants in Greater Jakarta’s prime logistics market took up 100,000 square metres more than they gave back in the second quarter of 2025, bringing year-to-date net absorption to 207,900 square metres, according to JLL.

More than half of total inquiries came from Chinese firms seeking multi-functional spaces to combine warehouse, workshop and assembly operations, the consultancy said in its Jakarta Industrial Market Dynamics report. Most demand was for facilities in Cikarang with good accessibility to toll gates, with additional activity in Depok-Bogor and Karawang.

“New supply was set to come online with a total annual addition of almost 250,000 square metres in 2025, with projections reaching 3.2 million square metres of total cumulative supply while maintaining single-digit vacancy rates of approximately 9 percent,” JLL said.