This article is from the Australian Property Journal archive
AFTER selling its operating business, Swan Transit has lobbed a pair of industrial assets located in Perth’s Canning Vale and Midvale to the market, including a bus depot leased to the Western Australian government.
The company is now looking to divest their real estate holdings after 20 years of ownership, both of which are located in core industrial locations in Perth. JLL has the listing.
Canning Vale is on a significant landholding of 3.25 hectares with a net passing income of almost $1.175 million.
“The existing improvements, unprecedented exposure to Roe Highway and location would suit transport and heavy equipment-based occupiers, with short-term holding income and low site cover providing value-add optionality to investors and developers” said Matt Brunsdon of JLL.
The Midvale property is a leased investment with a government covenant, operating as a major bus depot and leased to the Public Transport Authority of Western Australia until June 2028.
It is split over three titles totalling around 9,200 sqm which provides longer-term options and value-add opportunities, and has a passing income of $391,232 per annum.
“Midvale is a strategic opportunity to secure a strong leased investment in an established industrial pocket of Midvale providing optionality for prospective owner occupiers, investors and developers,” said JLL’s Chris Monterosso.
JLL’s June quarter Logistics and Industrial Market Overview reported Perth investment volumes over the last 12 months totalled $294.8 million across 20 transactions, well below the 10-year average of $469 million.
Brett Mathanda of JLL said rental growth is anticipated to continue its upward momentum going forward, driven by strong demand and scarcity in supply.
CBRE data showed Perth vacancies are at just 0.6%, with most of the take-up in the east and south precincts, such as Canning Vale.
Monterossa and JLL colleague Luke Schrier recently sold a 1.8-hectare Welshpool site, in Perth’s inner south east, for $10.3 million to Skippers Transport.
