This article is from the Australian Property Journal archive
DELIVERY and freight services UPS has signed a major lease for an industrial complex in Tullamarine, north west of the Melbourne CBD.
UPS has signed an agreement to lease 6,446 sqm of office/warehouse space in a high profile industrial complex at 93-99 Lambeck Drive. The property will experience no vacancy with UPS taking over the property the day the existing tenant vacates.
CB Richard Ellis director, industrial & logistics services, Dean Hunt said strong demand, particularly from the freight forwarding sector, was underpinning activity in the precinct.
“This is testament to the lack of availability of properties of this size in Tullamarine.
“Land supply in Tullamarine is also limited with Melbourne Airport Business Park holding the majority of land available for development. This lack of supply of land will continue to assist in holding rents for lessors going forward,” he added.
The UPS lease is the latest in a series of recent deals to focus attention on Tullamarine.
In other recent commitments, Willow Ware Australia has leased 10,000 sqm of space at 45-55 South Centre Road while specialist transport business Hi-Tech Express has committed to more than 3,000 sqm of office/warehouse space in Trade Park Drive.
CBRE Manager, industrial & logistics services, Matt Sampson negotiated the Hi-Tech Express deal in conjunction with the managing director of ICR Property & Investment Group, Raff De Luise The five-year lease was negotiated at a rental of circa $73 per sqm.
Sampson said the general interest in the Tullamarine area is coming from a wide variety of occupiers.
“The biggest advantages for tenants are obvious, being the proximity to the airport and the ease of access to Melbourne’s major arterials.”
Other major lease commitments include the five-year UPS deal, which was negotiated on behalf of the GDA Diversified Property Trust
The Lambeck Drive property incorporates a 5,348 sqm warehouse and 1,098 sqm of office space. The property was marketed by CBRE in conjunction with Killen Thomas as part of the CBRE’s most recent Going Going Gone portfolio campaign.
Australian Property Journal
