Brookfield has agreed to acquire a logistics facility in southwest Sydney from Goodman Group for A$203.5m (€124m).
The fully leased asset is located in Prestons, one of Sydney’s most tightly held, infill industrial precincts. The investor secured the deal at below replacement cost.
Ruban Kaneshamoorthy, Brookfield co-head of real estate in Australia, said: “This acquisition strengthens our Australian logistics portfolio with a well-located asset in one of southwestern Sydney’s established industrial precincts.
“The combination of a substantial landholding, strong transport connectivity and an established global logistics occupier make Prestons an attractive long-term investment.
Kaneshamoorthy said the acquisition also reflected Brookfield’s continued focus on acquiring quality logistics assets in markets where industrial land remained tightly held and there was potential for growth.
“The combination of scale, a global logistics occupier, a substantial underlying landholding and rental reversion made this a compelling asset for a long-term logistics investor,” said Trent Gallagher, national director of property sales and leasing – industrial and logistics at Colliers, which handled the sale.
BKC is Brookfield’s operating partner on the asset, which it will also manage. BKC also manages Brookfield’s Laverton logistics asset in Melbourne.
Brookfield’s logistics platform in Australia has a completed value of approximately A$3bn. Globally, the group’s logistics platform spans more than 255m sqft across over 850 properties in 20 countries.
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