• GPT and QuadReal announce new $1 billion Australian logistics joint venture
• Partnership to be seeded with $460 million of high-quality, stabilised logistics assets
• GPT to sell down assets to seed the Partnership, retaining 20% co-investment interest

GPT Group (GPT) and QuadReal Property Group (QuadReal) have announced a new $1 billion Australian logistics joint venture, to be known as GPT QuadReal Logistics Trust 2 (GQLT2). The Partnership will be seeded with approximately $460 million of high-quality, stabilised logistics assets located in east coast urban infill and middle ring locations. Once established, the Partnership will target further growth deployment of $500 million, focusing on acquisitions of stabilised, core plus opportunities in major east coast markets. GQLT2 will serve as the primary vehicle for QuadReal to scale its Australian logistics investments and will be operated and managed by GPT. GPT will sell down a number of balance sheet assets to seed the Partnership at book value and will retain a 20 per cent co-investment interest. Following the transaction, net proceeds of approximately $410 million will be used by the Group to reduce gearing until re-invested. QuadReal's total commitment for an 80% stake in the partnership is approximately $400 million.

The transaction is not expected to have a material impact on GPT's 2025 earnings. Implementation of the transaction is targeted for completion by July 2025 and is subject to FIRB approvals.