PGIM Real Estate has expanded its agriculture financing platform into Australia, a market key to its global growth strategy.
The asset manager is one of the largest agriculture investors in the world, and Australia marks the first expansion of its agriculture lending business beyond North America.
PGIM Real Estate will provide fixed rate, long-term financing solutions to Australian farm operators and agribusinesses through an exclusive partnership with specialist agricultural debt provider Foundation Agri Finance. It closed its first transaction at the end of last year, providing a loan to a diversified horticultural business.
Australia is a robust agriculture-producing nation with the value of agricultural production forecast to rise by 6 percent to A$85 billion ($55.75 billion) in 2024–2025. The market for financing farming operations is dominated by Australian banks that typically provide short-term, floating rate loans. PGIM Real Estate sees an opportunity
