Charter Hall has purchased a 24.89-hectare site from Coca Cola Amatil on a 20-year sale and lease back arrangement for a A$156 million ($118 million; €106 million).
Coca-Cola Amatil, one of the largest manufacturers and beverage distributors in Asia Pacific, has agreed a 20-year lease on industrial site located at 220-260 Orchard Road, Richlands, Queensland.
The Sydney-based developer and investment manager used capital from its A$2.4 billion open-ended wholesale Prime Industrial Fund (CPIF) to make the acquisition.
“The acquisition of this high quality, strategically located facility further strengthens Charter Hall’s relationship with Coca Cola Amatil’s business and demonstrates our ability to partner with existing customers across our industrial platform, which has approximately $5 billion of assets under management,” commented Charter Hall’s chief investment officer, Sean McMahon.
The site comprises an existing 542,651 square foot warehouse and manufacturing facility with an ancillary office. Coca Cola Amatil has recently commenced construction of a new distribution facility of 329,311 square feet, which will be substantially completed by December 2017.
“This core logistics facility is a pivotal asset within the Coca-Cola Amatil logistics and supply chain operations and is a rare offering in the industrial market with its 20-year triple net lease,” added CPIF fund manager, Richard Mason.
Charter Hall has A$19 billion of funds under management across the office, retail and industrial sectors. The group has offices in Sydney, Melbourne, Brisbane, Adelaide and Perth.