This article is from the Australian Property Journal archive
DEXUS has sold a distribution facility within a stone’s throw of the Melbourne CBD for $61 million.
The sale price reflects a 11% premium to the December 31 2023 valuation.
Cushman & Wakefield’s Chris Jones, Tony Iuliano and Adrian Rowse handled the sale on behalf of the Dexus Wholesale Australian Property Fund (DWAPF).
The 3.34-hectare landholding represents one of the closest sites of scale to the Melbourne CBD zoned for industrial and commercial use and is improved by a multi-tenant distribution facility totalling 25,372 sqm. It was sold with a short 1.9-year WALE and estimated fully leased net income of $3,201,823 p.a.*
The sale represents a significant capital gain for Dexus which acquired the industrial facility in 2015 for $36.2 million from the AMP Wholesale Australian Property Fund.
AMP had acquired the site from Centennial Property Group in 2013 for $26.3 million.
Melbourne’s industrial market continues to witness solid demand.
Melbourne recorded $811.4 million of industrial real estate deals in the quarter, 76.4% above the long-term 10-year quarterly average of $460.0 million. This quarterly total was dominated by two major land acquisitions – UniSuper ’s acquisition of a 66-hectare site in Deer Park in a $260.0 million deal with Orica, while ESR and Frasers entered into a joint venture to secure a 64-hectare site in Cranbourne, paying $230.0 million to Salta Properties.
And last month real estate financier MaxCap Group and Troon Group secured a $400 million development pipeline in Melbourne’s south east.
The 1520 Thompsons Road Expression of Interest close at 3pm on Wednesday 10 July 2024.
