Property fund manager Logos has tied up its near $1.7bn deal to buy Moorebank Logistics Park from logistics provider Qube.
LOGOS Consortium signed the binding agreement with Qube for Australia’s largest intermodal logistics facility.
Existing partners, Ivanhoé Cambridge, AustralianSuper, and TCorp as well as new partner AXA IM Alts joined LOGOS to deliver the milestone investment.
The 243-hectare site will be developed into industrial infrastructure with 850,000 sqm of warehouse opportunities.
The site is adjacent to Australia’s largest rail intermodal facilities with direct linkage to Port Botany.
The south-western Sydney Logistics Park offers direct access to the M5 motorway, M7 motorway, and Hume Highway, servicing key freight corridors through New South Wales.
In a statement, the LOGOS consortium said, “our collective vision for MLP represents a fundamental shift in east coast logistics, as a fully automated port-to-site rail link.”
“The scale of a logistics site with this range of benefits, within a 30- minute drive of a major global CBD, has not been seen in Australia before.”
Darren Searle, LOGOS Head of Australia and New Zealand, says changes in consumer behaviour and expectations has forced distributors and retailers to look for longer-term solutions to meet customer demand in food, cold storage, pharmaceutical, freight and distribution.
“Connectivity, efficiency and intermodal capability are critical components of a pre-eminent logistics site, and no site is better equipped to facilitate market-leading levels of scale and automation than the Moorebank precinct,” he says.
MLP is expected to provide over $11 billion in economic benefits over 30 years through improved productivity, reduced business costs, reduced growth in congestion and a better environment.
The $1.67 billion facility has an estimated value of $4.2 billion once fully developed.
LOGOS plans on deploying the largest array of rooftop solar panels on a single site in Australia to power the automation on-site.
“The site benefits extend far beyond just the tenants. By 2030, MLP is aiming to reduce Sydney and interstate truck travel by 243,000km per day, and lower carbon emissions by the equivalent of removing 11,000 vehicles from the road for a full year,” Darren says.
Paul Digney, Qube Managing Director, says LOGOS is an ideal partner for the Moorebank project.
“We are looking forward to partnering with the LOGOS Consortium to realise MLP as Australia’s leading logistics site and to build on the value of the infrastructure that Qube already built at the precinct,” Paul says.
Anchor tenants Woolworths and Caesarstone Australia have already committed capital to technology and fit-outs.
The transaction is subject to various approvals, including the consent of Moorebank Intermodal Company and the Foreign Investment Review Board.
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