This article is from the Australian Property Journal archive
INDUSTRIAL property giant Goodman Group has secured $170 million worth of new development commitments totalling 77,214 sqm across seven projects in Sydney and Melbourne.
In Sydney, Woolworth’s Masters Home Improvement has pre-committed to the redevelopment of an existing 13,528 sqm warehouse at Chullora Business Park on a 20-year lease. Construction will commence in March next year and is expected to be complete in August 2012.
At Moorebank Business Park, Mayo Group has committed to a 12,638 sqm facility on a 10-year lease. Mayo Group will consolidate their existing hardware and medical supplies businesses into the Moorebank facility. Construction will start in December with practical completion scheduled for July 2012.
At M7 Business Hub in Eastern Creek, Goodman and Brickworks will develop a 22,723 sqm multi-unit estate. The five unit estate comprises 2,700 sqm of office space and 20,023 sqm of warehouse space with associated hardstand and car parking. Tesa Tape, a leading manufacturer of self adhesive product, have signed a five year lease totalling 4,020 sqm of warehouse and office space.
This development follows on from the success of the adjacent seven unit estate completed in 2008. On completion of this new development in September 2012, the total gross lettable area of M7 Business Hub will be 238,443 sqm. Tesa Tape joins existing customers including Coles, Coca-Cola Amatil and Toll.
Also at Eastern Creek, Rexel Holdings Australia, a leading distributor of electrical supplies, has signed a five year lease for 6,011 sqm of warehouse and office space at Interchange Park. The warehouse unit to be occupied by the Logistics Division of Rexel Holdings, was a speculative unit development adjoining the 10,030 sqm Goodyear facility that was completed in November 2011. Rexel will occupy the facility from January 2012.
In Melbourne at the Hampton Distribution Centre, Goodman will develop a 6,611 sqm warehouse expansion for existing customer Reece. Reece has occupied the 42,009 sqm warehouse and office space facility since 2009, and on completion of the expansion space in December 2012, will extend their lease term to 14 years.
Goodman Australia general manager Jason Little said these new developments increase the total pre-commitments in Australia to 256,880 sqm or $510.7 million.
“In the first half of the 2012 financial year we have completed a total of 189,835 sqm, with a completion value of $268.4 million. This solid result is further evidence of the strong performance of our development business,” he added.
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