This article is from the Australian Property Journal archive
THE fitness craze that took hold of locked-down Australians has led global GPS-enabled products provider Garmin to commit to a 10-year lease over a $45 million purpose-built distribution facility in Sydney’s north west.
The Sydney Business Park facility will be partially operational from September and expected to be fully operational from early 2023. It will feature 12,036 sqm of warehouse space and 1,320 sqm of corporate office space.
Garmin will double its footprint in Australia as a result, expanding its retail and e-commerce and fulfilment operation from a 6,000 sqm facility in Eastern Creek. The Marsden Park facility will serve as Garmin’s online fulfilment centre as well as service its traditional bricks and mortar retail partners in Australia.
Founded in 1989 and with its global operational headquarters in Olathe, Kansas in the United States, Garmin employs more than 19,000 associates across 34 countries worldwide. The new facility will initially employ 101 Garmin associates with a potential headcount of 142 employees. The company reported total annual revenue of $4.98 billion in March, with all five business segments posting double-digit growth over the prior year as COVID sparked demand for lifestyle and fitness products.
“We’ve been on a very steep growth trajectory since the pandemic prompted a technology-driven fitness revolution and people around the world found creative and safe ways to keep moving,” said Matthew Thomas, managing director at Garmin Australasia said.
“Our staff have been a key consideration in choice of location, and we looked to provide a more comfortable and pleasant workplace as well as proximity to amenities such as food and shopping.”
Garmin will join Linfox, Dulux, IKEA, Bunnings and ASICS within the Sydney Business Park, which features amenities including supermarket, child care, medical centre, gymnasium, cafes and eateries, and the 90,000 sqm homemaker and trade centre, and is in close proximity to the M7 motorway.
Garmin partnered with Asia-Pacific business transformation consultancy TMX on procuring this pre-lease site. TMX will now project manage the delivery of the development on behalf of Garmin and alongside Sydney Business Park.
“As the fitness craze continues, Garmin is well-placed to meet growing consumer demand and improve speed to market by fulfilling both e-commerce and instore orders from this world-class distribution centre in Marsden Park,” Nick Greenwell, TMX director of property said.
Matt Foldes, sale and leasing director at Sydney Business Park, negotiated the lease.
Sydney’s industrial vacancy rate was dropped to a national and global low of 0.3%, according to CBRE.
