Charter Hall Retail REIT (CQR), the Australian retail real estate investor, has paid A$111.8m (€68.9m) for a 52% stake in distribution facility leased to Coles Group.
The remaining 48% interest continues to be held by two Charter Hall Direct managed funds.
CQR has bought the interest in the A$215m facility in Adelaide’s industrial precinct of Edinburgh Park, South Australia. The asset is fully-leased d to supermarket group Coles for 14.5 years.
Charter Hall Retail REIT’s CEO, Greg Chubb said: “This acquisition increases the certainty of income through a long 14.5-year lease, provides growth for CQR investors through fixed rental escalations, and improves the resilience and security of income by further increasing CQR’s exposure to Coles.”
The latest deal takes CQR’s retail portfolio exposure to 276 convenience, convenience-plus and long weighted average lease expiry, retail properties.
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