LOGOS Australian Logistics Venture targets A$5 billion portfolio14 March 2022
Leading Asia-Pacific logistics specialist, LOGOS, has secured an additional equity commitment from a wholly owned subsidiary of the Abu Dhabi Investment Authority (“ADIA”), for its flagship LOGOS Australian Logistics Venture (“LALV”), providing investment capacity to grow the LALV portfolio to a Gross Asset Value of more than A$5 billion.
LALV was established by LOGOS and a wholly owned subsidiary of ADIA in November 2014. LALV’s primary strategy is to acquire and develop prime logistics assets in Australia.
Since inception, LALV has delivered strong returns and has continued to grow its portfolio. This latest commitment from ADIA’s subsidiary provides significant capacity to acquire additional major development sites, of which LOGOS has a number in exclusive due diligence.
LALV’s portfolio currently consists of nine, large multi-tenanted logistics estates with a total end value of A$3.7 billion, including a major stake in the recently acquired Qantas Sydney Airport Precinct.
All the assets in the portfolio have been developed by the venture over the last seven years. Reflective of its quality and age of development, the portfolio has a Weighted Average Lease Expiry (“WALE”) of 9.3 years, leased to high quality tenant customers such Woolworths Limited, DHL, Toll Transport, Asahi Beverages, Hilton Foods and H&M.
LALV’s additional investment capacity increases LOGOS’ assets under management in Australia and New Zealand to over A$14.3 billion.
LOGOS Head of Funds Management, Australia & New Zealand, Sean Singh said: “We are very pleased to extend our relationship with ADIA, following a very successful initial investment period. This has seen LALV deliver strong returns while building one of Australia’s highest quality logistics portfolios, benefitting from LOGOS’ significant development pipeline and leveraging its tenant customer relationships in the Asia-Pacific region.
“The continued growth of LALV demonstrates LOGOS’ position in the Asia-Pacific region as an investment manager of choice,” Mr Singh added.