Charter Hall fund boosted with $50m energy investment
The Clean Energy Finance Corporation (CEFC) has announced its first investment in the industrial property sector, with a $50 million equity investment made to Charter Hall Prime Industrial Fund (CPIF).
Following the investment, the fund would work with the CEFC to identify demonstration projects to "to showcase exemplar energy efficiency solutions, clean energy enabling activities as well as carbon neutral developments”.
The investment would also contribute to the construction of new assets that make use of the latest in sustainable design and materials, potentially driving uptake of materials identified in the Federal Government’s Technology Investment Roadmap such as green steel, aluminium and cement, and delivering long term benefits to Australia’s emissions profile, CEFC said.
The Australian Government-owned Green Bank, which aims to facilitate increased flows into the clean energy sector, said that in the current environment the industrial property sector provided more opportunities to further decarbonise the economy given its long-term tenants who were looking for sustainable property to help meet their environmental, social, governance (ESG) targets.
“Working with an industry leader like Charter Hall gives us the opportunity to use our capital to help transform the industrial property sector. We can drive sustainability measures across an extensive portfolio of assets, as well as positively influence the sustainability profile of a diverse range of large tenants,” CEFC’s chief executive, Ian Learmonth, said.
The $5.5 billion CPIF is one of Australia’s largest industrial and logistics funds, with 75 assets across Australia, including warehouses, industrial estates and distribution centres.
“The CEFC’s purpose is aligned with Charter Hall and CPIF’s sustainability strategies, which have set significant long-term emissions reduction targets for our property assets and ultimately future-proof the performance of our investments for all stakeholders,” Charter Hall’s chief experience officer Natalie Devlin commented on the investment.
AUTHOR
Oksana Patron
Recommended for you
Amid a growing appetite for alternatives, investment executives have shared questions advisers should consider when selecting a private markets product compared to their listed counterparts.
Chief executive Maria Lykouras is set to exit JBWere as the bank confirms it is “evolving” its operations for high-net-worth clients.
Bennelong Funds Management chief executive John Burke has told Money Management that the firm is seeking to invest in boutiques in two specific asset classes as it identifies gaps in its product range.
Responsible investment performance concerns have lessened as the market hits $1.6 trillion in AUM, according to RIAA’s annual report, but greenwashing fears among asset managers are on the rise.
