This article is from the Australian Property Journal archive
THREE prime industrial properties in Sydney’s south west have sold under the hammer for a combined $20 million-plus.
A record rate for a freestanding building in Ingleburn was set with the $11 million sale of the 2,643 sqm warehouse at 16 Heald Road, after competition from six investors and owner occupiers.
Another industrial yard 16B Stennett Rd in the same suburb, attracted four bidders and 39 bids and sold for $4.9 million, providing a development opportunity in a low-supply suburb.
“The demand and necessity for industrial property in NSW is still outweighing external macroeconomic factors affecting other property markets,” said Adrian Balderston, who sold the properties with colleague John Tsoutsa, from Colliers.
Tsoutsa said there are only a handful of undeveloped industrial blocks of land remaining in Ingleburn and the suburb’s popularity has increased dramatically with industrial users due to its positioning on the M5 Motorway.
The final sale was a freestanding 1,288 sqm warehouse in Moorebank, which Colliers also said set a record rate for a freestanding building at $6.015 million, equating to $4,670 per sqm. The property at 6 Centenary Avenue sold for $900,000 above reserve Tsoutsa and Kieran Tsipidis.
“We are still seeing strong levels of active requirements both from leasing and purchasing (high demand, super low supply),” Tsoutsa added.
“Existing buildings are certainly preferred, with replacement values high due to the rise in construction prices.”
