This article is from the Australian Property Journal archive
Australian Unity Investments has bought an industrial property in Melbourne’s north suburb of Brunswick for $7.45 million.
The 1.414 hectare site has a two storey office building and attached factory warehouse of 8,057 sqm. The property’s passing yield is 8.65%.
The property will be added into its Property Income Fund and will bring PIF’s direct property holdings to $40 million.
AUI’s head of property Martin Hession said that the Brunswick property is an excellent addition to PIF, giving further geographical and sector diversification in its holdings as well as providing solid ongoing returns.
“The Melbourne industrial property market has been very healthy for some time now with yields continuing to firm and rentals growing strongly.
“This property, which has a long-term tenant in place until 2010 with an option of two further terms of three years each, is in an established city-fringe industrial area,” he added.
“Brunswick is a well positioned distribution centre with easy access to the road network serving Victoria and interstate,” Hession said.
Following the acquisition, AUI’s now has in excess of $800 million of property funds under management. Last month, AUI bought the Peninsula Private Hospital at Langwarrin.
AUI is the funds management arm of financial services, health and retirement living services provider Australian Unity, which currently has over $3.5 billion in FUM.
By Adam Parsons
