Centuria Acquires Port Adelaide Distribution Centre

Centuria Capital Group, an investment manager which markets and manages investment products primarily in Australia, on Tuesday said that it has secured the Port Adelaide Distribution Centre for $139.45 million, at a 70% discount to its replacement cost, which will underpin Australia’s largest single-asset industrial fund to date, known as Centuria Port Adelaide Industrial Fund (CPAIF).

Located at Adelaide in South Australia, the 32-hectare asset spans 13 buildings, nine titles and is leased to 17 high-quality national and international tenants including Visy Logistics, agricultural product supplier Ameropa Australia, Toll Transport and Spendless Shoes.

It benefits from industrial units ranging 1,700sqm – 21,000sqm warehouses. The size of the estate enables future optionality including subdivision7, repositioning or redeveloping opportunities, the Australian Securities Exchange (ASX) has announced this morning.

South Australia’s macroeconomic tailwinds further support Centuria’s investment rationale, underpinned by strong forecast local population growth and 17% of the State’s expenditure allocated to significant infrastructure projects over the next four years8. Several high-profile infrastructure projects could potentially influence occupier demand, including the $237.58 billion AUKUS defence project within the Osborne Naval Precinct, the Port Adelaide (Gillman) Renewal Project, and Henderson Defence Precinct.

Rare Opportunity

Centuria CEO Jason Huljich said that this was a rare opportunity to secure a trophy Adelaide asset at a time when the local market benefits from cyclical tailwinds credited to low vacancy, strong leasing demand and limited new supply.

He said that Adelaide has one of Australia’s strongest leasing markets with materially lower rents in comparison to other capital cities. We are very excited to secure this asset at a substantial discount to replacement cost.

“The acquisition is a strong start to FY26 and we anticipate significant investor interest due to the decreasing interest rate environment. We anticipate further, attractive investment opportunities for both domestics and international capital over the coming year. We continue to see improving conditions within the transactional market with falling debt costs, strong international investor interest for well-priced and well-located property, and healthy retail/wholesale investor appetite,” he added.

CPAIF will provide an initial five-year term and is expected to be offered to retail, wholesale and institutional investors from September 2025, with a forecast distribution of 7.5% per annum for FY26 and 8.5% per annum in FY27, paid on a monthly basis.

The Fund has a targeted equity raise of $74.89 million with investments starting from $32,280. Settlement of the property is anticipated in October 2025.

This latest raising follows the recent successful raising for the Centuria Logan Super Centre Fund, which acquired the Logan Super Centre in Queensland for $115 million and was oversubscribed. Centuria is one of Australia’s largest real estate funds managers with more than $12.91 billion in assets under management (AUM).