This article is from the Australian Property Journal archive
MORE than 13,000 sqm of space at a Richlands industrial facility owned by an Australian Unity fund has been leased two tenants on the expansion path.
National third-party logistics provider MCM Logistics leased 7,000 sqm, and mining sector business Flexitech Group has taken 6,520 sqm within the 53,000 sqm facility at 278 Orchard Road in deals negotiated by Lachlan Hateley and Mark Clifford of Knight Frank.
Flexitech’s expansion was predominately driven by its expanding mining sector customers.
“As the Queensland economy picks up, a lot of businesses from down south are looking to expand into Queensland, but we’re also seeing local businesses grow their requirements,” he said.
Clifford said the Richlands facility ticked a lot of boxes for the tenants, not the least of which was the location in Brisbane’s prime south-western industrial corridor.
“It’s in a great spot, almost at the intersection of the Ipswich Motorway and the Centenary Highway, which was perfect for a logistics business.”
He said the premises is also part of a major distribution centre providing highly functional accommodation, with an internal height of 8.5 metres and up to 13.7 metres.
Peter Griffiths, Queensland State Manager of MCM Logistics, said the new lease was secured for the expansion of its Queensland operations and to take on several new 3PL customers.
Around 25,000 sqm of space remains available across two more tenancies at the facility, which Knight Frank is marketing for lease. They can be subdivided to provide for tenant requirements from 5,000 sqm and upwards.
The facility, owned by Australian Unity Diversified Property Fund, is on a 11.26-hectare corner site and has been tenanted by Coca-Cola Amatil. The beverage giant opened its new bottling and warehouse facility next door at 220-260 Orchard Road in October, having sold the site to Charter Hall Prime Industrial Fund for $156 million with a 20-year leaseback in 2017.
“It is becoming increasingly difficult for tenants to find space over 5,000 sqm in the form of existing buildings due to the strong demand we’ve been seeing recently,” Hateley said.
Australian Property Journal
