Propertylink Group is investing AUD46.6m (€32.8m) in an Australian industrial asset for its wholesale fund.
The asset, in Sydney’s western suburbs, is being bought for Propertylink’s Australian Industrial Partnership II (PAIP II), launched last year.
The deal, expected to close in February next year, reflects a 7.39% yield.
Tenants of the 31,086sqm include online retailer The Iconic, a subsidiary of the Global Fashion Group.
Propertylink chief executive Stuart Dawes said the partnership now owned 11 industrial properties worth AUD220m.
“PAIP II’s strategy,” he said, “is to maximise returns for our clients by acquiring industrial, warehouse and logistics assets in Australia, where we can generate further value through active management, lease renewals, targeted capital expenditure and timely disposals.”
More than 65% of assets within Propertylink’s investment management business are in Sydney.