Norton Rose Fulbright advises ESR on the acquisition of Blackstone’s Milestone Logistics Portfolio

Global law firm Norton Rose Fulbright has advised ESR, a leading Asia-Pacific logistics real estate platform, on its conditional agreement to purchase Blackstone’s Milestone Logistics Portfolio. 

This landmark deal signed on April 17 is reported to be Australia’s largest ever direct property transaction. 

Consisting of 45 assets over 3.6 million sqm across Adelaide, Brisbane, Melbourne, Perth and Sydney, the Milestone Portfolio, once completion of the agreement occurs, will transform ESR into the third-largest manager of industrial real estate in Australia with a AUD$7.9 billion Australia logistics portfolio.

ESR Australia CEO Phil Pearce said in a recent statement that the transaction strategically positions the ESR Milestone Partnership to benefit from the continued growth in demand for warehouse space, particularly in the e-commerce space.

An extensive Norton Rose Fulbright team advised on the acquisition and debt. The overall transaction was led by partners Michael French and Michael McKee, while partner Stephen Iu led the corporate and M&A workstream and partner Chris Patten led the debt workstream. The team also included partner Marshall Bromwich who assisted on W&I Insurance, and senior associates Danielle Sterling and Charlie Watson who helped manage the transaction.

Michael French commented:

“We congratulate ESR for prevailing in a deal that will transform its business in Australia. We are proud to have assisted them navigate the extremely competitive process to consummate agreements for what is reported to be the biggest direct real estate deal ever done in Australia.”