Australia’s Aware Super buys into US$1.3 billion US warehouse deal

[MELBOURNE] Aware Super has bought a 49 per cent stake in a new venture with Goodman Group to invest in a US$1.3 billion package of US industrial properties that count Amazon.com among their tenants.

The investment comprises three Los Angeles properties spanning about 2.8 million square feet of building area, the A$200 billion (S$170 billion) Australian pension fund said in a statement on Tuesday (Sep 30).

Aware is targeting under-supplied locations where it is difficult to build new similar properties, according to the statement. The deal was inked even as some large investors pull back from the US amid mounting political and economic uncertainty.

“We remain confident in the strong long-term fundamentals of the US industrial sector,” Aware’s Head of Property Alek Misev said, adding that the purchase “reflects our counter-cyclical approach of identifying opportunities when others are cautious”.

Australia’s corporate watchdog on Tuesday told the nation’s pension funds to strengthen disclosure around private assets and their valuations, as the industry boosts its exposure to unlisted investments such as real estate. BLOOMBERG