This article is from the Australian Property Journal archive
GARDA Diversified Property Fund is keeping busy, acquiring a TradeCoast industrial development facility in Brisbane for $19 million.
The four-hectare 70-72 Main Beach Road property in Pinkenba comes with a pre-commitment of 15-years from a subsidiary of recycling company Byrne Group, with the sale price reflecting an initial yield of 7.4%.
The facility is an expansion of an existing operation by Byrne Group in the area and will operate as a resource recovery facility for soil, rock, gravel and construction materials. It will mostly comprise hardstand area, with a 2,000sqm facility and site offices.
Construction will begin after settlement, expected later this month, with completion slated for January.
The site adjoins the Brisbane airport and is on the northern side of the Brisbane River, close to the proposed $100 million Brisbane cruise ship terminal.
Garda executive chairman, Matthew Madsen said ever-increasing regulatory controls continued to support the sustained and strong growth of the construction recycling industry.
“Differing regulatory frameworks between the Australian states also provides continuing competitive advantage for Queensland based facilities. Locally the site is extremely well located, closer to the city than other major facilities.”
The purchase will initially be debt funded with LVR anticipated to increase to around 44%. The fund’s occupancy will be 93% and have a WALE of 5.04 years following the acquisition.
Last week the fund announced the sell-off of the Civil Aviation Safety Authority’s national headquarters in Brisbane, as well as the acquisition of a Metroplex Westgate site with a pre-commitment from auto giant Volvo.
It offloaded the fully leased 4,675sqm property at 12-14 The Circuit in Eagle Farm to The Patella Group for $23 million, at a 2.7% premium to its most recent valuation of $22.4 million.
Shortly afterwards it announced it had purchased a new 3.274-hectare industrial and office site in Brisbane’s west from GPT and Metroplex for $35.25 million, which Volvo Group has signed a 10-year pre-commitment lease over for its new Australian head office and service centre for its trucking brands.
The facility will have a 6,057sqm service warehouse and dealership and 3,937sqm of office space and showroom.
It is part of the 90-hectare Metroplex Westgate precinct in Wacol being developed by GPT Metroplex, a partnership between GPT and Metroplex that is in the earliest stages of construction.
The sales of two further sites within the precinct were confirmed yesterday, for a combined $4.35 million.
High-end Italian roller door manufacturer BMP Australia purchased a 3,096sqm lot, which is has started building a 1,700sqm warehouse on.
It will be expanding out of its 300sqm warehouse in Herston following the deal negotiated by Cushman and Wakefield’s Corey Bott.
A Brisbane-based commercial food supplier acquired a 1.2-hectare site in the southern part of the development, which it will use for a 5,000sqm warehouse after a 12-month search for a site to accommodate its own expansion.
Knight Frank’s Mark Clifford and Ben Hatch sold the site.
Australian Property Journal
