Gateway Capital and Cadillac Fairview’s newly created Australian industrial real estate investment partnership has bought a business park in Melbourne from Dexus for A$306m (€192m).

The Gateway Capital Urban Logistics Partnership (GULP) has acquired Axxess Corporate Park as its first asset.

Stuart Dawes, Gateway Capital CEO told IPE Real Assets: “We really like the size of the estate. At 20 hectares in an infill location, that is hard to find either in Sydney or Melbourne. We also like the diversity of tenants and the opportunity to add value across the estate in the short to medium term.”

Dawes said: “In terms of locations we focus on scoring assets on proximity to population within both 30 and 60 minutes and Axxess scores one of the best locations in the broader Melbourne market.”

Peter McDonald, Gateway Capital CIO, spoke of Axxess as one of Melbourne’s premier infill industrial and logistics precincts. It had excellent access to nearby major road infrastructure and superior last-mile logistics characteristics.

The new owners intend to increase the size and scale of the estate through the development of vacant land, together with the redevelopment of pockets of the estate to create new prime-grade industrial and logistics products.

“In addition to Axxess Corporate Park, Gateway Capital has several other assets under consideration which will see GULP expand in both Sydney and Melbourne over coming months,” said Dawes.

“The assets being targetted will provide opportunity for Gateway Capital to capitalise on the strong rental growth that continues across the east coast markets through active management and development,” said Dawes.

With the latest transaction, Dexus has secured combined sale proceeds of approximately A$700m within a week, bringing total divestments announced during financial year 22/23 (to date) to approximately A$1.5bn.

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