Charter Hall Group-managed CPIF has extended its relationship with global institutional investor Allianz Real Estate to acquire the $648 million portfolio of ALDI logistics assets located in Sydney, Melbourne and Brisbane.

The ALDI distribution centres were designed and built by ALDI to a high-quality specification and sold with seven-year lease back initial terms plus multiple seven-year options.

At a glance: 

• Charter Hall Group managed CPIF has announced the acquisition of the $648 million portfolio of ALDI logistics assets located in Sydney, Melbourne and Brisbane.
• The purchaser is a Charter Hall managed partnership combining the $6 billion wholesale fund CPIF with Allianz Real Estate as a 50/50 joint venture partner.
• JLL led by Tony Iuliano negotiated the transaction on behalf of ALDI.

The four asset portfolio comprises Sydney logistics facilities located within prime industrial locations of Minchinbury and Prestons within the Outer West and South West suburbs of Sydney, whilst the Melbourne facility is located in the prime Dandenong industrial precinct, with the Brisbane asset located in the Northern suburb of Brendale.

The purchaser is a Charter Hall managed partnership combining the $6 billion wholesale fund CPIF with Allianz Real Estate as a 50/50 joint venture partner.

JLL led by Tony Iuliano negotiated the transaction on behalf of ALDI.

ALDI Brendale, Queensland. Source: Charter Hall 

David Harrison, Managing Director and Group CEO of Charter Hall, said the company's industrial and logistics portfolio now represented a quarter of its $40 billion platform.

“Combining the balance sheet strength of CPIF and its partner Allianz Real Estate gave Charter Hall a competitive advantage in convincing ALDI that we could deliver an unconditional executed transaction within a short timeframe, having recently secured FIRB approval for the transaction," he said.

“Accessing the on-going growth and resilience of grocery retailing in Australia has been a consistent thematic driving the growth of our Industrial and Logistics portfolio toward $10 billion and beyond.

ALDI Dandenong, South Victoria. Source: Charter Hall

Allianz Real Estate Asia Pacific CEO Rushabh Desai said the transaction was in line with the company's strategy of aligning its investments to secular megatrends in the Asia-Pacific region.

"Demand for logistics in Australia is underpinned by growth in e-commerce, increasing international trade and the resilience of non-discretionary retail spending," he said.

"This will provide our investors an attractive distribution yield.

“We value our long-standing relationship with Charter Hall, and we are very excited to partner with them on the acquisition of the ALDI logistics portfolio. ALDI is known to us in Germany and we are pleased to broaden the relationship with them."

Similar to this: 

Charter Hall secures 150,000 square metres of pre-leases in Melbourne’s West with Bridgestone to join Midwest Logistics Hub

Coles and Charter Hall extend relationship with lease agreements

Perth industrial site sold for $20 million