Centennial targets industrial development in new fund
Centennial Property Group has launched the Build 2 Core (B2C) Partnership Fund to invest in development opportunities in the industrial and logistics sector.
The Fund has a "Build to Core" strategy that targets industrial and logistics development opportunities across Australian capital cities. The Manager intends to invest in a portfolio of up to $650M industrial and logistics properties with a focus on development of vacant and underutilised space in well located and typically inner ring/last mile industrial and logistics sites.
The Fund provides a unique opportunity to invest alongside global investment firm KKR & Co, as the Strategic Investment Partner, which has a 71.2% investment in the portfolio. The Manager is seeking to raise $50M through the issue of 50M units to acquire a 17% interest with the balance to be owned by US based global investor, Sabin Group (10.2%) and Centennial management (1.7%).
The Fund is a total return fund, with the Manager targeting an IRR of 12 – 14% p.a.
The Fund is open to wholesale investors only with a minimum investment of $250,000.
Property has rated the Fund as RECOMMENDED.