PSP Investments Joins Forces with Aliro and CBRE IM in Australian Industrial Real Estate Expansion

Download IPFS

Australia’s booming industrial real estate sector continues to attract global institutional investors, with Canada’s Public Sector Pension Investment Board (PSP Investments) now co-funding the Australian Growth Industrial Venture (AGIV) alongside cornerstone investor CBRE Investment Management (CBRE IM). The fund, managed by Aliro Group, targets high-quality logistics and industrial assets across key growth corridors, aligning with long-term structural trends that continue to reshape the national property landscape.

The decision by PSP Investments, one of Canada’s largest pension investment managers, to back Aliro’s industrial platform underscores the robust fundamentals driving Australia’s logistics market. E-commerce expansion, supply chain reconfigurations and the ongoing shift toward domestic warehousing have created unprecedented demand for state-of-the-art facilities in key precincts. By partnering with CBRE IM, a global leader in real assets, and Aliro, which brings deep local expertise and development capability, PSP Investments is positioning itself to capitalise on these strategic tailwinds.

Aliro’s AGIV fund has already secured several assets and development sites, with plans to expand aggressively across the eastern seaboard. The fund is focused on delivering modern, energy-efficient industrial facilities that meet the evolving needs of national and multinational occupiers. In a market constrained by limited zoned industrial land and surging demand, AGIV’s active development approach provides investors with a crucial competitive edge. This move is particularly timely as institutional capital continues to seek defensive, income-generating assets in an increasingly volatile global economic environment.

The entrance of PSP Investments into this venture highlights the growing confidence in Australia’s industrial real estate outlook. More importantly, it signals a welcome commitment from long-term capital to support the real economy through infrastructure and job-generating assets. While many investors are retreating in the face of policy uncertainty and cost escalations, this collaboration between global pension capital and experienced local players sets a positive precedent. Australia’s leaders would be wise to take note and create a regulatory environment that welcomes such partnerships. With the right support and planning frameworks, the industrial property sector can not only attract further foreign investment but also support sustainable economic growth in the years ahead.