Indonesia is currently the world’s eighth-biggest economy. But it will be the fourth-largest by GDP by the year 2050, to match its population. Logistics operators view Indonesia as an untapped and huge market. Its 258 million people rank it behind only China, India and the United States in population globally, but its middle class is only now coming into its own.
In Indonesia, warehouse operators can expect rental yields of 8% to 9%. There are yearly capital gains of around 6% on top of that, bringing total annual returns to around 15%.
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