Real estate powerhouse Centuria’s acquisition engine has been fired up this week, as its industrial property arm CIP has reached agreements to acquire $86.1 million worth of assets in New South Wales and Victoria.
Centuria Industrial REIT (ASX:CIP)
’s three new purchases consist of a manufacturing facility in Broadmeadows, two distribution sites in Epping and Wetherhill Park.
The new batch of properties are all currently hosting tenants with an average lease term of five years, representing an average initial yield of 5 per cent.
CIP fund manager Jesse Curtis expressed the company’s view on the new purchases, “These acquisitions continue to build our strong track record of identifying value and providing value-add opportunities through repositioning and active leasing to deliver reliable income returns and capital growth to our unitholders.”
The acquisitions are expected to bump up CIP’s number of assets under management from 63 to 66 sites and lift the total portfolio value to upwards of $3 billion.
Shares in Centuria Industrial REIT (ASX:CIP)
are trading 0.3 per cent higher at $3.73