Goodman Group fund has acquired a selection of logistics real estate assets from Australian building materials company Brickworks for A$2.65bn (€1.65bn).
Goodman’s A$20bn fund, the Goodman Australia Industrial Partnership (GAIP), has acquired the portfolio from Brickworks’ parent company, Washington H Soul Pattinson & Co.
GAIP is deploying A$2.3bn from capital recycling and liquid reserves to fund the acquisition, alongside a A$350m equity contribution from Goodman.
Under the transaction, GAIP will acquire Brickworks’ 50% interest in its partnership known as Brickworks Goodman Australia Industrial, taking its interest to 100%, Brickworks’ 50% interest in the Oakdale West Trust, increasing its interest to 90%, with the remaining 10% held by Goodman.
Goodman is also acquiring Brickworks’ remaining 50% interest in the Oakdale East Trust, which comprises buildings under construction and development land.
Jason Little, Goodman Group’s CEO Australia, said: “As part of our asset recycling strategy, the transaction demonstrates our ability to redeploy capital into opportunities that support long-term customer demand, while increasing our interest in high-quality assets that are already well integrated into our portfolio.”
Goodman has a long-standing industrial partnership with Brickworks, dating back to 2005.
The Brickworks Manufacturing Trust remains unaffected by the transaction, with Goodman and Brickworks continuing their existing partnership through the separate entity.
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