AMP Capital is to begin developing land for housing in Australia on behalf of an unnamed international investor.
AMP Capital, which manages a separate account for the investor, has taken a one-third share in a joint venture with developer Rawson Group.
The AUD200m (鈧�139m) investment will help fund land subdivision at two projects in the northwest and southwest of Sydney.
Dynon said: 鈥淭he Sydney residential market continues to experience a residential dwelling supply shortage, resulting in strong demand for high-quality developments.
鈥淭hese two developments are well positioned to benefit from the New South Wales government鈥檚 investment in enabling infrastructure.鈥�
Already one of Australia鈥檚 largest aged-care owners and operators, AMP Capital is also increasing its exposure to the residential sector through its mixed-used strategy with plans to include apartments in the redevelopment and expansion of its shopping centres around Australia.
The fund manager did not disclose the identity of the investor involved in its latest deal, but John Dynon, head of real estate separate accounts at AMP Capital, said the relationship with the client went back more than 16 years.
鈥淚n 2016, we delivered our client its highest portfolio return,鈥� Dynon said. 鈥淭his joint venture aims to continue outperformance for the portfolio.鈥�
AMP Capital manages more than AUD8bn for separate account clients on behalf of local and international pension funds, sovereign wealth funds and family offices.
