This article is from the Australian Property Journal archive
TASMANIA’S Cambridge Aerodrome, alongside three adjacent industrial allotments, has hit the market with eight-figure price expectations.
The property at 115 Kennedy Drive in Cambridge, around 15 minutes from the Hobart CBD and 5 minutes from the Hobart Airport, is one of Tasmania’s busiest airports by traffic movements and spans over 45-hectares.
Leslie Simpson, commercial sales & leasing agent from Raine & Horne Commercial Hobart is managing the sale, on behalf of the vendors who have held the property since 1992, the Wells family.
“This sale presents an exceptional opportunity for further aviation development or industrial expansion in one of Tasmania’s fastest-growing precincts,” said Simpson.
The aerodrome is located within the emerging Cambridge industrial-commercial precinct and offers frontage to the main thoroughfare, Kennedy Drive as well as a short-term lease-back providing holding income.
The property also comprises two runways with lighting, above ground aviation fuel facilities, and substantial steel-framed, metal-clad warehouse-style buildings used as hangars for light aircraft and offices.
This in addition to taxiways, aircraft parking areas, vehicle parking and an old Aero Club building.
“We already have aviation businesses interested in building on the Wells family’s legacy, as well as developers considering the re-zoning potential of the utilities portion of the site that is approximately 31.5 hectares. In addition, there is already light industrial land parcels (around 3.4 hectares) with significant underlying value,” added Simpson.
“It’s a big piece of potential industrial land within arguably Tasmania’s highest growth industrial-commercial precinct featuring 196 metres of frontage to busy Kennedy Drive.”
Industrial land values have surged significantly in the Cambridge precinct, with prices ranging from $110 per square metre to $135 per square metre in late 2020.
While recent sales have seen prices reach from $470 per square metre to $500 per square metre, exclusive of GST.
“Furthermore, demand continues to be strong while supply remains static, indicating potential for further growth in the short to medium term,” said Simpson.
“While we anticipate a sale price reaching around an eight-figure mark, the final value may vary based on the buyer’s plans for the property. Its value as a vacant industrial parcel may exceed that of maintaining it for aviation purposes. We anticipate different valuations from aviation interests and competing developers.”
Additionally, Raine & Horne Commercial Hobart is currently selling three light industrial allotments adjacent to the western boundary of the aerodrome, which were part of the original 1934 airport.
This includes 33 Cherokee Drive, which spans 2,859sqm for $1.35 million; the 2,911sqm 35 Cherokee Drive for $1.37 million; and the 3,077sqm 37 Cherokee Drive for $1.45 million.
The expressions of interest campaign for 115 Kennedy Drive, Cambridge is scheduled to close on 9 July 2024.
