This article is from the Australian Property Journal archive
ESR has picked up a 1.5 hectare industrial business park on Sydney’s north shore for $71 million from AMP Capital, which has looked to take advantage of demand for warehousing and logistics assets while meeting over $2.5 billion of redemption requests.
The property at 44-50 Waterloo Road is used by Macquarie University’s School of Engineering and was held by the AMP Capital Diversified Property Fund, which accounts for a reported $2.2 billion of the redemption requests.
Known as ADPF, the fund is set to be merged with the Dexus Wholesale Property Fund.
Another $500 million of requests are being sought at the AMP Capital Wholesale Office Fund.
AMP Capital’s parent, AMP Limited was hoping to secure a $28 billion sale of AMP Capital to Ares Management, but the prospective agreement fell through this week.
Meanwhile, Warburg Pincus-backed ESR has been aggressively expanding its industrial holdings in Australia. It launched a $1 billion equity raising for a new logistics partnership 12 months ago, and the fund itself was launched in June with the backing of Singaporean sovereign wealth fund GIC.
The partnership picked up an 18 hectare infill site in Brisbane’s Acacia Ridge late last year and is on the hunt for sites along the eastern seaboard.
