This article is from the Australian Property Journal archive
A PRIVATE investor has bought an industrial property at Dandenong in Melbourne’s south-east on a 13% plus yield.
The property was sold by Savills Australia. Agents Joseph Catanese and Ben Hegerty said the enquiry for the property reflected a new level of interest for industrial investments in 2010.
The price was undisclosed but it is believed to be around $7.2 million following a very competitive campaign which attracted more than 60 enquiries.
Catanese said the sale of the property had offered investors an outstanding opportunity to acquire a quality property with a secure lease profile in one of Melbourne’s most sought after industrial areas.
The property is currently leased to Impact Steel Pty Ltd, a subsidiary of Bluescope Steel Limited, on a four year term with a four year option.
It comprises two separate office and warehouse buildings totaling 9,015 sqm on separately titled land of a combined 16,785 sqm.
“As one of Melbourne’s key industrial zones, Dandenong houses a significant number of high-profile industries and continues to attract strong enquiry from new tenants and investors aware of the strong industrial property fundamentals in the region.
“Access to a ready workforce and a premium road network, recently enhanced by the opening of EastLink, adds further to the precinct’s attraction for both tenants and owner-occupiers,” Catanese said.
Australian Property Journal
