This article is from the Australian Property Journal archive
INVESTOR demand for infill industrial facilities continues apace, with a south east Brisbane facility selling for $12.75 million – at a whopping 31% premium to prior book value – after ASX-listed vendor Centuria secured a five-year lease over the property.
The 3,415 sqm Willawong asset at 373 Sherbrooke Road was divested by an unlisted vehicle managed by Centuria and was acquired by a private investor.
The property is now wholly occupied by international maritime paints and coating specialist, Akzo Nobel Pty Ltd.
CBRE data showed south east Brisbane’s industrial market vacancy rate was just 0.5% at the end of December.
Jesse Curtis, Centuria head of industrial, said limited vacancy and persistent tenant demand within infill industrial markets across the Australian eastern seaboard continues to drive outsized rental growth.
“These enduring strong market tailwinds continue to drive investor demand for quality industrial assets.”
Centuria acquired the asset in 2015 and, through value-add leasing, it has achieved a notable return for the fund’s investors, Curtis said.
The Willawong warehouse was constructed in 2015 and provides a 10.5-metre internal clearance warehouse, two loading bays, 2,000 sqm hardstand, 52 on-grade parking spaces and 1,420 sqm office accommodation.
The asset is located seven kilometres from the Centenary Highway, less than nine kilometres from the Logan Motorway, and 14 kilometres to the Pacific Highway.
CG Property Group’s Ben Clarke and Mark Gilbride negotiated the sale.
Within Queensland alone, Centuria has a portfolio of 101 properties worth $3.5 billion across industrial, healthcare, decentralised office, daily needs and large format retail, agriculture and property finance markets.
