This article is from the Australian Property Journal archive
MAJOR industrial deals continue to be struck across Sydney’s metropolitan region, with Frasers Property boosting its substantial Eastern Creek presence in the western suburbs by purchasing two development sites of a combined 13.5 hectares.
It has acquired a 10-hectare site on Burley Road in Horsley Park from CSR, with works already having started on the property, in a deal believed to be circa $40 million.
Frasers also bought a 3.5-hectare property on Eastern Creek Drive from developer Jacfin, next to its Eastern Creek Industrial Estate.
The properties take the group’s footprint in the area beyond 123 hectares, and have potential for up to 81,500 sqm of warehouse and logistics space.
Also this week, Bricktop and Trumen Corp made a handsome profit from their ownership of a Lane Cove office and warehouse facility, selling it at an $11.2 million premium on their purchase price four years ago.
Fund manager Aviator Capital is the new owner of the 9,263 sqm property at 2 Lincoln Street, within the Lane Cove Business Park in Sydney’s lower north shore, having paid $28.075 million.
The Sydney-based vendors had purchased the asset in 2014 for $16.875 million.
In the latest deal, it traded with a weighted average lease expiry of around 3.25 years and 95% occupancy, with tenants including SLR Consulting, Key Pharmaceuticals and Kastle Australia. The sale price reflected a passing yield of 6.91%, and 7.33% fully leased.
ASX-listed Propertylink Group acquired a nine-level office building and adjoining development site also in the Lane Cove Business Park for $56.6 million at the end of last year.
The 9,250 sqm building at 18-20 Orion Road is occupied by Motorola, Netcomm Wireless, BUPA Dental Corporation and a childcare centre, while the adjoining 7,922 sqm site has approval for a commercial development of 15,800 sqm.
Key industrial sites have traded hands across metropolitan Sydney over the past several weeks.
In the southern suburb of Banksmeadow, Leda Holdings paid $26 million for a 1.85-hectare site at 8-10 Moore Street, on which it intends to build storage and warehouse units once the owner occupier vendors vacate later this year.
That came shortly after developer and investor Logos emerged as the buyer of a 4.4-hectare warehouse site in the suburb at 2-6 Moore Street, for $72.4 million in an off-market deal.
Tipalea Partners purchased a 6,175 sqm site at 23 Bourke Road for $24.5 million in the inner-suburb of Alexandria, adjoining the 5,000 sqm site at 29 Bourke Street acquired last year for $13.4 million. Tipaleais looking to develop the combined site into five retail, warehouse and office properties between 500 sqm and 2,000 sqm.
Back in the western suburbs, developer Logos sold off an 8,800 sqm Yennora facility at 5 Pine Road for $14.15 million, which the new owner will occupy half of and lease the remainder.
Meanwhile, Perth-based Lester Group has taken two office and warehouse sites in the area to the market with expectations of $45 million.
They include a 20 Williamson Road in Ingleburn and 159-163 Newton Road in Wetherill Park, with leases to Visy Industries and Austcor Packaging and a combined total building area of 24,597 sqm on 45,626 sqm of land.
Total WALE is 5.75 years and passing return is $2.9 million per annum net.
Australian Property Journal
