Mr Iuliano, JLL’s head of capital markets, industrial and logistics, who sold the property along with Adrian Rowse, said there had been significant interest in the asset from both offshore investors, including new players looking to deploy capital in Australia as well as domestic groups.
“Refrigeration distribution centres have become an increasingly popular investment class in recent years primarily because of the longer lease stability in income,” Mr Iuliano said.
“They have drawn increasing attention in the current environment due to domestic consumer demand and the rise in non-discretionary retailing.”
“Industrial assets with strong underlying leasing covenants in close proximity to major infrastructure are highly sought after.”
The trust also owns a seven-level office building at 19 George Street in the outer Melbourne suburb of Dandenong, which is valued at $100 million.
The initial terms of the trust will end in late October but Cromwell is expected to propose to its unitholders to retain the Dandenong property and extend the trust for a second term.
The C12 Trust is similar to some of other Cromwell’s other unlisted property trusts, in that it has a seven-year initial investment period, innovative construction funding structure and long lease term.
