A major superannuation fund has invested $500 million with Dexus, one of the largest-ever single investments made in an Australian open-ended property fund.
The super fund, which was not identified, made the investment in the Dexus Wholesale Property Fund (DWPF).
In total, the fund raised more than $600 million in institutional investments with the remaining $100 million made up of existing and new investors.
The transactions were executed as secondary trades which Dexus said reflected strong investor demand for high-quality assets.
DWPF is a diversified Australian property fund with assets in office, retail and industrial and is one of Australia’s largest and most diversified Australian real estate pooled funds at $12.7 billion in portfolio value.
Dexus chief executive, Ross Du Vernet, said: “This investment is a strong endorsement of our real asset management capability and focus on delivering compelling returns for all investors on our funds management platform. Attracting and deepening significant new institutional capital relationships in the current environment reflects the quality of the fund’s portfolio and our team’s commitment to deliver for clients.
“Dexus is growing our funds management business through a focus on delivering outperformance and selectively expanding new and existing relationships. This is a key plank of our strategy to build a diversified, capital-efficient business where our strong balance sheet is enhanced with a growing share of earnings from managing real assets and capital for our partners.”
Earlier this year, CFS allocated $370 million to a global infrastructure strategy managed by infrastructure specialist fund manager Morrison. This marked a new strategic partnership aimed at expanding the fund’s private markets exposure. The strategy focuses on sectors including digital infrastructure, energy transition, and transport and logistics.
CFS said the commitment would provide exposure to a pipeline of global infrastructure opportunities, while also allowing the fund to benefit from Morrison’s global operating platform and sector expertise.
