Charter Hall plans office, logistics buying spree
Property funds group Charter Hall says it has marshalled billions of dollars from its local and offshore pension backers that it can deploy as it looks to expand in logistics and offices.
The company’s model was rocked by the coronavirus crisis, threatening its ability to maintain the rapid growth of its $40 billion empire, which also spans retail, petrol stations and even agriculture.
But it has since struck major logistics deals, raised equity for two listed trusts, and is chasing the Aldi distribution centre portfolio, which it is favoured to pick up for close to $700 million.
The company said it had reviewed the impacts from COVID-19 and reaffirmed its fiscal 2020 earnings guidance for about 40% post-tax operating earnings per security growth on fiscal 2019.
Despite some superannuation funds facing liquidity pressures, Charter Hall said its capital partners remain committed to their existing investments and were looking for new opportunities to deploy additional capital.
“Across the funds platform the group has $5 billion in existing investment capacity with approximately 40% of this in cash,” it says.