Property development company LOGOS has acquired an additional two hectares of land adjacent to its Prestons Logistics Estate in south west Sydney and is developing a new 14,800sqm facility for Toll Group on the site. The new facility takes Toll’s total gross lettable area (GLA) on the extended estate to 80,000sqm, with a weighted average lease term of 10 years. LOGOS acquired the initial 25 hectare site in 2016 securing a pre-commitment from Toll for the development of two state-of-the-art logistics facilities with a total GLA of 65,000sqm. The facilities were completed in the first quarter of 2107. The additional land and new Toll facility allows LOGOS to further enhance Prestons Logistics Estate, which on completion will offer a total GLA of 141,000sqm and be valued at circa $300 million. Global head of property at Toll Chris Noble said: “We currently have two successful facilities at Prestons and are pleased to have the opportunity to service another customer on this estate. LOGOS’ development capability, ongoing asset management and the Estate’s premier location meant this was perfect choice for Toll and our customer”. Toll joins Volvo Group Australia at the Prestons Logistics Estate, with LOGOS to finalise details for the remaining 65,000sqm of land over the coming months.
LOGOS has exchanged contracts to acquire a 15.3-hectare infill development site in Villawood, Sydney from Toll Group, including a partial sale and leaseback agreement. The acquisition is due to settle in late 2019. Located at 246 Miller Road, Villawood, the property has good access to Sydney’s key transport network, with five freeway entry points within 10km and existing entry to the South Sydney freight railway line. The acquisition includes a partial leaseback to Toll over a portion of the site, with LOGOS to undertake upgrading works across the existing facilities. LOGOS plans to redevelop the remaining 11.3 hectares of the site into a logistics and intermodal estate on a speculative basis with an estimated on completion value of circa $200 million. LOGOS’ head of Australia and New Zealand Darren Searle said: “The Villawood property acquisition is a new strategic infill development opportunity that will greatly benefit both intermodal and logistics operators. “To capitalise on the property’s strategic location and the future infrastructure development in the area, we will look to develop intermodal and logistic facilities to service the strong demand we are seeing from our existing and new tenants in this area for modern, high quality facilities,” he said. The NSW Government is investing circa $80 billion in infrastructure across western Sydney over the next four years, including the construction of the WestConnex and NorthConnex Motorways and upgrades to the area’s existing road systems under the $3.6 billion Western Sydney Infrastructure Plan. The acquisition also strengthens LOGOS’ relationship with Toll, with the Group having developed three facilities for the global logistics provider. Mr Searle added: “We are pleased to be working with Toll on this strategic acquisition and look forward to enhancing their existing facilities for them within this this key industrial market”.
LOGOS announced the development of this purpose built warehouse distribution facilities at the Prestons Logistics Estate, Sydney for Toll Group in 2016.
Industrial real estate financing firm LOGOS is establishing a new ‘core / core plus’ venture, LOGOS Australia Logistics Portfolio (LALP) with a leading Australian investor. The strategy of LALP is focused on acquiring and owning high-quality core and core plus logistics facilities in prime industrial markets, predominantly along Australia’s eastern seaboard. It will initially have approximately A$500 million of investment capacity. LOGOS says it has identified a strong pipeline of acquisition opportunities and the significant commitment reflects LOGOS’ and its investment partner’s confidence in the opportunities available and performance of the logistics market in Australia. Joint managing director of LOGOS Trent Iliffe said: “We are pleased to be partnering with a leading Australian investor on this new venture. We will be looking to acquire existing assets and aggregate a premium portfolio with long leases to high quality tenants, with value-adding upside.” Joint managing director of LOGOS John Marsh said: “The Australian logistics market has continued to deliver solid returns over the past three, five and ten years and we expect this performance to continue, with the sector experiencing strong demand driven by trade flows and growth in online retailing. “Given Australia’s growing exposure to online retailing, and our experience across a number of Asian markets that have experienced significant online retail growth, we’re excited to be able to bring our learnings from these markets and adapt them to Australia’s growth story,” he said. LOGOS now has A$4 billion of equity commitments to 14 ventures across its five regions with target assets under management of over A$9 billion.
Australian industrial property developer LOGOS has established a partnership with the Indian arm of Singapore-based asset manager Assetz Property Group. Together they aim to raise US$400 million ($508 million) to build and manage modern, specialised logistics and industrial parks around India over the next four to five years. Ben Salmon, Co-founder and CEO of Assetz Property Group, said that LOGOS will benefit from Assetz’s local development expertise through the partnership, while LOGOS will bring institutional management and development expertise, the Economic Times of India reported. Trent Iliffe, Joint Managing Director, LOGOS added, “We are seeing extensive demand from our existing and new customers for institutional-grade logistics facilities in the region.” The partnership will see approximately 20 million square feet of warehouse and logistics space developed in cities including Gujarat, Hyderabad, Mumbai and Bangalore. “Assetz has a long history of partnering to enhance the growth of our business,” said Salmon. “I am confident that this association with LOGOS will deliver a market-leading warehousing and logistics business in India. This is the coming together of two companies with complementary values. We look forward to lending our local development expertise to LOGOS India.