Allianz, Charter Hall pay Aldi $281.4m for two more distribution centres
EXCLUSIVE
Aldi has sold two more near-new distribution centres with leasebacks to a partnership comprising Allianz Real Estate and Charter Hall Prime Industrial Fund.
The properties on large sites in Melbourne’s west Derrimut and near the Gold Coast (pictured, right), at 55 Burnside Rd, Stapylton, a growth corridor, are trading for c$118.9m and $162.5m respectively. The blended yield is 4.62 per cent.
In June, the Essen based supermarket chain offloaded four more Australian investments of this type to the same joint venture for $648m following a public sales campaign by JLL’s Tony Iuliano, Adrian Rowse, Roger Miller and Gary Hyland struck at the same return.
The newest factories were snared following a direct negotiation amongst the buyer and seller, again with Mr Iuliano.
Allianz is holding its 50pc stake in the six property portfolio for several group companies.
Aldi offered them all with seven year rental agreements containing multiple (seven year) options.
Land gives us future proof options: Charter Hall
CPIF and Allianz’s Derrimut and Stapylton properties cover only a small part – 34pc – of significant sized blocks, providing multiple longer-term development and positioning options.
“The portfolio comprises a total gross lettable area of 106,614 sqm upon a total combined site area of 309,900 (30.99 hectares)…providing good flexibility for future…expansion or reconfiguration to future proof the assets,” a statement by the purchasers said.
Last week Charter Hall sold three warehouse investments in Truganina, near Derrimut, to The GPT Group for $120m reflecting a 4.19pc yield – described by the responsible brokers as a new benchmark within the national industrial logistics landscape.
Charter Hall holds $3.5b leased to Australia’s big four supermarkets
“The Aldi distribution centres were designed and built by [the occupier] to a high-quality specification,” the buyers added.
“The leases are Triple Net with three per cent fixed annual increases providing the CPIF and Allianz Real Estate joint venture with a secure growing income stream,” according to Charter Hall Group chief executive officer and managing director, David Harrison (story continues below).
“These two assets were acquired off-market and demonstrate the strong relationship we have developed with [the supermarket] as a major crossover tenant customer and Allianz as a major investor,” he said.
“Accessing the ongoing growth and resilience of grocery retailing in Australia has been a consistent thematic driving the strength of our Industrial and Logistics portfolio, which now totals more than $11.5 billion.
“This additional Aldi leased portfolio…cements our position as the largest owner of grocery anchored distribution centres in Australia, with a $3.5b portfolio leased to all four major supermarket anchors” (which also includes Coles, Metcash and Woolworths).
Four days ago Charter Hall purchased a 6.5ha parcel in Melbourne’s north Epping, on which it will build a 34,777 sqm distribution centre to retain Visy Logistics which has outgrown a nearby Somerton factory.
Last Tuesday the landlord acquired its 60th Australian outlet rented to Bunnings (though it is with the intention to repurpose the 1.9ha inner-south Sydney holding as an industrial estate).
We’re chasing logistics assets globally: Allianz
Allianz Real Estate Asia Pacific chief executive officer Rushabh Desai said “investing in logistics is a high conviction global theme for us”.
Across this country, Japan, China and India, it controls over US$2.4b worth of logistics assets.
CPIF is a $6b pure play industrial and logistics fund with has secured $2.6b in two capital raisings this year.
Fund manager Richard Mason said “the acquisition of the two Aldi assets in Derrimut and Stapylton-Yatala increases [the fund’s] weighting to resilient consumer staples tenant customers to 53pc of the portfolio”.
Geographically, 91pc is on Australia’s east coast.
The trust’s Weighted Average Lease Expiry is 10.6 years.
