Charter Hall turns to Japan’s Mitsubishi Estate Asia for logistics tie-up

Charter Hall and Japan’s Mitsubishi Estate Asia will develop a logistics facility in Laverton, Melbourne.

Property funds house Charter Hall Group has struck a joint venture partnership between its $14bn flagship industrial and logistics fund, CPIF, and Japan’s Mitsubishi Estate Asia.

The Asian group, which is a power house investor across residential and commercial projects, is investing via its MEC Oceania Investment Pty Ltd unit, and will back a major logistics hub in Melbourne’s west.

Charter Hall chief executive David Harrison said MEA was one of Japan’s largest real estate consortiums with a successful 10-year track record investing in Australia.

“Through this partnership, we will deliver a brand new, state-of-the-art facility that strengthens our capacity to service significant tenant customer demand in a tightly held pocket of western Melbourne,” he said.

Charter Hall chief executive David Harrison has struck a deal with Japan’s MEA.

MEA’s head of Australia, ­Yosuke Matsunaga, said Charter Hall was a highly respected partner with deep expertise in Australia’s logistics sector.

“The project aligns with MEA’s strategy to expand our investment in Australia through partnerships with leading operators, focusing on high-conviction locations and sustainable assets. We look forward to strengthening our partnership as we deliver this estate,” he said.

The partners will deliver a new 40,000sq m state-of-the-art industrial and logistics estate in Melbourne’s prime industrial precinct at Laverton.

The project is the first stage of a broader $500m estate with development potential of up to 175,000sq m of lettable area.

Sitting in Melbourne’s inner west, Laverton North is a sought-after industrial precinct where Charter Hall has a strong existing line-up of facilities, with long-term leases to a broad range of top tenants, including Woolworths, Coles, ALDI and Australia Post.

Sitting on the prime corner of two major industrial arterials – Dohertys Road and Fitzgerald Road – near the West Gate Freeway, the development is connected by major roads to the northern, western and southeastern markets, as well as the Port of Melbourne.

The project consists of 40,000sq m of warehouse space, with flexibility to be divided into two tenancies. The building will host 37m of hardstands, 6600sq m of super awning and a combination of recessed and on-grade docks.

Sustainability initiatives include 400kW of solar, 80,000L of rainwater tanks for recycled water and water and energy ­efficient fixtures and fittings. The project is targeting a 5-star Green Star rating (Green Star Buildings V1).