Lendlease-managed Australian Prime Property Fund Industrial (APPF Industrial) has agreed to acquire a portfolio of three assets from the Mirvac Industrial Logistics Partnership (MILP) for A$161 million.
The assets are located in prime, core industrial locations in South West Sydney and West Melbourne.
Lendlease said the two Melbourne assets adjoin existing APPF Industrial holdings, offering the potential to expand lot sizes, improve amenity and enable future development through a variety of site consolidation options.
The portfolio is 100 per cent leased and comprises:
- 1 Johnson Road, Campbelltown, NSW – APPF Industrial’s first acquisition in South West Sydney. A highly functional office warehouse facility providing a GLA of 16,641.50 sqm. The Campbelltown industrial area is currently one of the strongest growth corridors within Sydney.
- 26 Harcourt Road, Altona, Vic – with a GLA of 32,329 sqm this asset is adjacent to the Fund’s holding at 21-27 Marshall Court, allowing the potential for expansion and increased flexibility for customers.
- 47 Westgate Drive, Altona, Vic – the asset has a GLA of 26,998 sqm with an additional parcel of expansion land of circa 10,500 sqm. It neighbours the fund’s existing investment at 121-139 Dohertys Road, providing multiple opportunities to add value.
The locations within West Melbourne and South West Sydney are core logistics precincts experiencing strong growth. MILP was established in 2017 and is a partnership between Mirvac and an investment vehicle sponsored by Morgan Stanley Real Estate Investing.
“This is a high quality portfolio of modern, well leased assets in tightly held precincts set to continue to benefit from strong demand tailwinds. With two of the assets adjoining the fund’s existing holdings, this strategic acquisition provides multiple opportunities to unlock synergies and add further value for our investors,” said Scott Mosely, Managing Director, Funds Management.
“The industrial sector continues to benefit from global thematics including e-commerce, on-shore manufacturing and a desire to be positioned close to the end-consumer. This has driven increased demand for strategically located assets, with Campbelltown and Altona being prime examples of tightly held precincts that will continue to benefit from transport connectivity and continued investment in infrastructure.”
 for A$161 million.){kind=link}