The Straits Trading Company Limited, through its subsidiary Straits Real Estate Pte. Ltd., has announced a strategic partnership with Cromwell Property Group to enhance their industrial and logistics platform across Australia. Cromwell will acquire a 19.9% interest in Straits Real Estate’s Australian industrial portfolio for approximately $30.5m (A$47.6m), with the transaction set to occur in two phases.
The initial phase, expected to complete by 31 December 2025, involves Cromwell acquiring the 19.9% interest and purchasing Terre Property Partners Pty Ltd., which manages the portfolio. The second phase will involve a recapitalisation of the portfolio, anticipated to conclude in FY2026. This collaboration combines Cromwell’s operational expertise with Straits Trading’s institutional strength to drive long-term value creation.
The portfolio includes seven industrial assets in key logistics hubs across South Australia and Victoria, leased to major tenants such as Coca Cola Europacific Partners. These assets are strategically located in areas like Bayswater and Port Adelaide, benefiting from strong connectivity and demand.
Terre Property Partners will integrate into Cromwell’s platform, enhancing its capabilities and supporting its investment management growth. Straits Real Estate will remain an investor, backing future growth initiatives. Cromwell CEO Jonathan Callaghan stated, “By expanding our AUM and partnering with an institutional investor of Straits Trading’s calibre, we’re strengthening our platform.”
This partnership marks a significant step in optimising Straits Trading’s industrial portfolio and aligns with Cromwell’s strategy to reposition as a capital-light investment manager. The collaboration is expected to create new opportunities in sectors with long-term value.
