Phoenix Property has entered a joint venture with Lendlease to develop a A$185m (€116m) logistics facility in Australia.

The partners will develop a 30-hectare site in Sydney’s West into a prime industrial and logistics precinct at St Marys in an area designated for future industrial development.

The agreement, its first with Lendlease, will see Hong Kong-headquartered Phoenix hold a majority interest in the joint venture, with Lendlease acting as development and investment manager.

Tom Mackellar, managing director of development at Lendlease, said the partnership with Phoenix supported the group’s investments-led strategy.

“This is another example of partnering with capital early to optimise the right development and investment opportunities,” he said.

Trent Winduss, partner and head of Australia, Phoenix Property Investors, said the project fitted well within Phoenix’s opportunistic investment strategy in Australia.

Winduss said Phoenix looked to acquire assets in markets where it saw strong demand in the short-to-medium term, with low levels of competing supply.

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