ESR Cayman has acquired an industrial site in Melbourne believed to be around A$80m (€49m) for its joint venture with Singapore’s GIC.

The ESR Australia Development Partnership has bought the 79-hectare site in Southeast Melbourne to be developed into a logistic hub with an expected end-value of around A$450m.

IPE Real Asset understands that with the last acquisition, the A$1bn partnership has, so far, allocated A$400m in equity to buy four sites.

Phil Pearce, CEO of ESR Australia, said: “This large-scale acquisition provides us with the ability to take advantage of strong demand from users in Melbourne’ land-constrained south-east market to develop a prime industrial estate.

“We’re aware of the demand from users wanting larger-scale facilities, and those looking to improve their supply chains, and we’ll be well-positioned to cater to their needs.”

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