LOGOS Property Group, a logistics-focused property development and management company backed by Singapore’s ARA Asset Management, has signed a non-binding commercial term sheet to acquire a 100% interest in the warehousing and property components of the Moorebank Logistics Park (MLP) in Sydney.
LOGOS will pay current owners, Qube, A$1.65bn ($1.28bn) for the 243-hectare park and will acquire the warehouses and freehold land on the site as well as Qube’s 34% interest in Land Trust, which holds leasehold interests in MLP.
Under the deal, Qube will retain ownership of the park’s intermodal rail terminals and will continue to own and manage terminal operation activities at the site.
LOGOS will take over responsibility for funding and delivering the remaining warehousing facilities to be constructed in the park, which include two automated logistics centres for Woolworth totalling more than 75,000 square metres. This will significantly reduce Qube’s development capex obligations for the MLP. Qube will now just have to complete automation of the IMEX terminal and deliver the Interstate terminal.
The completion of the transaction is subject to approval by the Foreign Investment Review Board and Moorebank Intermodal Company (MIC), an entity established and owned by the Australian Government to facilitate the development of the Moorebank terminal.
Binding transaction documents are expected to be signed in H2 FY21, with MIC, LOGOS and Qube planning to establish a new governance structure for the MLP.