Qube has entered into a period of exclusivity with LOGOS Property Group, on the sale of its Morebank Logistics Park in what could be one of the largest industrial transactions this year.
Qube advised that the transaction is still in the form of a non-binding indicative proposal, and it remains subject to a number of conditions,
including the agreement of the precise sale structure, completion of due diligence, and documentation.
Charter Hall and Dexus, as well as Blackstone and ESR were also in the hunt for the asset.
The industrial estate, which is the size of Sydney’s CBD, is expected to be worth well north of $2 billion, and it is not yet clear whether Qube will sell a controlling stake, the whole thing, or nothing at all.
Qube and LOGOS have now commenced the work needed in order to agree and document the level of ownership and assets which would be subject to the sale agreement, as well as the operating structure and arrangements to optimise the alignment of the parties with respect to the MLP and the Interstate and IMEX terminals.
LOGOs with the support of ARA Asset Management are working with Grant Samuel’s number crunchers through the detailed due diligence and pricing process.
Qube presently expects to have determined whether or not it will proceed with a transaction towards the end of calendar 2020.
Any transaction would be subject to a range of third-party approvals including from the Moorebank Intermodal Company (MIC), a Federal Government entity established to facilitate the development of an intermodal terminal. MIC entered into agreements with a wholly owned subsidiary of Qube Holdings, to develop and operate the terminal.
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