At a glance
- Settlement is due later this month.
- The deal values the facility at about A$4,450 per square metre, with the property fully leased to Mainfreight, the global transport and logistics company.
- Brookfield said it secured the asset below replacement cost in one of Sydney's most tightly held infill industrial precincts, citing land constraints it expects to push vacancy lower and rents higher.
Brookfield's real estate strategy has agreed to acquire a 45,780-square-metre distribution facility at Prestons in southwest Sydney from Goodman Group for A$203.5 million ($138.87 million), IREI reported. Settlement is due later this month.
The deal values the facility at about A$4,450 per square metre, with the property fully leased to Mainfreight, the global transport and logistics company. The site sits near the M7 motorway, with links to Sydney's two commercial airports and Port Botany.
Brookfield said it secured the asset below replacement cost in one of Sydney's most tightly held infill industrial precincts, citing land constraints it expects to push vacancy lower and rents higher.
For family offices and allocators marking Australian industrial exposure, the per-square-metre price of A$4,450 is a transaction benchmark for a fully leased infill asset with a named global tenant.
"This acquisition strengthens our Australian logistics portfolio with a well-located asset in one of southwestern Sydney's established industrial precincts," said Ruban Kaneshamoorthy, Brookfield co-head of real estate in Australia. Goodman, the vendor, bid alongside Digital Realty for a 9.9% stake in NextDC at a valuation of AU$715 million earlier this month, as Private Wealth Daily previously reported.
This acquisition strengthens our Australian logistics portfolio with a well-located asset in one of southwestern Sydney's established industrial precincts.Ruban Kaneshamoorthy, Brookfield co-head of real estate in Australia
Reported by the Deals desk from IREI and Private Wealth Daily archive. Published . Corrections