This article is from the Australian Property Journal archive
A GEELONG distribution centre leased to global surf apparel brand Quiksilver is heading to the hands of Australian fund manager Trilogy Funds.
The 3.8-hectare site at 75-95 and 105 Corio Quay Road has improvements of 21,302 sqm and traded with a 7.1 year weighted average lease expiry from its lease to Quiksilver.
Centuria Industrial REIT’s 2024 property compendium showed the trust was carrying the property on its books at the end of June at $33.5 million, on a capitalisation rate of 6.75%.
Two years earlier it was $36 million, on a cap rate of 5.00%.
Currently, it generates a passing net income of $2.249 million per year and includes fixed annual rental increases of 3%. Trilogy Funds declined to comment on the purchase price until settlement, which is due late in October.
The asset will be held in the Trilogy Industrial Property Trust and is its second industrial property in Victoria.
The now trust has 15 industrial properties across the country, with a gross asset value of more than $280 million.
Trilogy Funds manager – property funds, Laurence Parisi said the property’s strategic location, size and strong tenant covenant made the property an attractive addition to its growing portfolio of manufacturing, logistics and distribution assets.
“With its prime location within the established northern Geelong industrial precinct, directly opposite Victoria’s second largest port, Geelong Port, and proximity to the Princes Freeway and Geelong Ring Road, the property is one of the most highly sought after properties in the area, giving businesses direct access to shipping their products from Australia to the world,” he said.
