CHARTER Hall Group has announced an extension of its relationship with Coles Group via long-term “pre-lease” commitments for two new “high-tech” distribution centres in Sydney and Melbourne.

The facilities are scheduled to be completed in 2022 and cover a combined lettable area of 60,000sqm and are to be used as automated customer fulfilment centres for Coles Online.

The Melbourne Coles facility comprises about 30,000sqm and is within the CPIF owned Midwest Logistics Hub, a 58ha estate on Dohertys Road, Truganina.

Charter Hall already is building at Midwest Logistics Hub, a 44,000sqm facility pre-leased to Toll (for a contract with Mars Group) and the just-announced 46,000sqm facility pre-leased by Uniqlo.

The Sydney Coles facility with about 30,000sqm is at Horsley Drive in Wetherill Park and is to “anchor” a 14ha estate being developed by Charter Hall, owned and funded by CPIF.

Charter Hall managing director and group CEO, David Harrison, said they were are delighted to extend their cross-sector relationship with Coles.

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“The on-going growth of e-commerce and the focus on supply-chain efficiencies continues to drive the demand for well located, high quality logistics facilities,” Mr Harrison said.

“Charter Hall has demonstrated, via expanding our relationship with Coles that our industrial estates located near major transport infrastructure continue to be well sought after by our major retail and logistics customers.”

Coles chief property officer, Thinus Keeve, said they valued their longstanding relationship with Charter Hall.

“These two customer fulfilment centres will enable Coles Online to offer greater range and availability, from locations that allow us to deliver to customers across metropolitan Sydney and Melbourne,” Mr Keeve said.

Charter Hall Industrial & Logistics CEO Richard Stacker, commented said these projects on completion would contribute to the Group’s $1bn industrial and logistics development pipeline. “Our cross-sector relationships continue to provide a point of differentiation for Charter Hall in delivering solutions for our major customers,” he said.

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