APN Property Group, an Australia-based real estate fund manager specializing in the Asia-Pacific market, could be readying for additional investment activity within the Australian self-storage market, according to a report by The Australian. The company reportedly told investors it is in early talks with a company about the sector, and industry sources speculate it could be a rival global player, the source said.

APN was believed to be in discussions with Chicago-based Heitman, a real estate investment management firm that was involved in a large purchase of APN storage properties in 2011, but those negotiations apparently have stalled.

APN operates a $206 million AUD ($188 million) National Storage Property Trust that invests in 37 storage properties leased to National Storage Property. National Storage and Heitman created a joint venture in 2011 to purchase 20 properties for $175 million from APN Funds Management and the Investec Property Opportunity Fund.

APN told investors that the new party was offering terms that were equal to or better than those previously negotiated, the source said. APN indicated once an agreement was further along, it would present it to investors for approval.

Last year, APN dropped a planned merger of the self-storage investment fund with the operating businesses, according to the source.

Sources: