Global leading private equity company Carlyle Group, and the Townsend Group, announced a strategic partnership on Thursday with leading logistics warehouse developer Shanghai Yupei Group.

The partnership will bring an investment of $400 million.

Carlyle and Townsend will commit about $200 million through acquiring equity interests in five warehouses owned by Shanghai Yupei Group and build 12 new warehouses in the next two years. Shanghai Yupei Group will also invest $200 million.

The 17 warehouses, expected to cover 1.8 million square meters, will be located in major logistics hubs across China, including the first-tier cities of Shanghai, Beijing and Guangzhou, and select second-tier cities such as Shenyang, Tianjin, Chongqing, Zhengzhou and Hefei.

"Modern logistics is a nascent but fast growing industry in China, supported by strong growth in domestic consumption, exponential expansion of e-commerce and favorable government policies," said Jason Lee, managing director and head of Carlyle Asia Real Estate.

Alibaba Group in May unveiled Cainiao Network Technology Co Ltd to create a logistics network with an initial capital input of 100 billion yuan ($16.1 billion).