Growthpoint Properties Australia has teamed up with TPG Angelo Gordon to establish a logistics investment partnership.
Growthpoint Properties will sell six existing industrial properties at book value for A$181m (€112m) to kick-start the Growthpoint Australia Logistics Partnership (GALP) industrial partnership.
NASDAQ-listed credit and real estate investing platform TPG Angelo Gordon will have an 80% stake in GALP, with the Australia-listed group holding a 20% interest. Growthpoint Properties will be the investment and property manager of the new vehicle.
Ross Lees, CEO and MD of Growthpoint Properties, said: “This partnership supports Growthpoint’s strategy to grow its funds management business and capital partnerships and is a testament to the strength of our industrial portfolio.”
Lees said this would be the trust’s first such alliance and that he was pleased to form this capital partnership alongside an “aligned global institutional partner with extensive investment experience”.
Proceeds from the sale of the seed portfolio will initially be used to repay debt, reducing gearing by around 2% and security holders will receive a one-off special distribution of 2.1 cents per security.
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