The open-ended EG Australian Core Enhanced Fund (EG ACE) has acquired a portfolio of three office assets in Sydney for A$450m (€286.5m).

EG ACE is a diversified fund targetting office, industrial and retail real estate in Australia, backed by PGGM and another investor, who is investing on behalf of four superannuation funds.

Michael Noblet, fund manager of EG ACE Fund, told IPE Real Assets that post-COVID investors in office sectors had to look to the location and the resilience of the buildings themselves.

“These are high-quality B grade buildings, and we believe that, over the next two years, demand for space in this type of building will rise because of limited supply,” he said.

Noblet said the portfolio is close to 100% let.

After the latest purchase, Noblet said the fund had A$500m of capital for further acquisitions in the office and industrial sectors.

The fund now owns eight assets with a total value of approximately A$700m.

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