Melbourne, 11 February 2015 – Private investors have snapped up Victorian industrial assets worth close to $4 million from two separate mortgagees.
CBRE’s Guy Naselli and Harry Kalaitzis managed both deals, which Mr Naselli said highlighted the continued receivership activity occurring in Victoria despite the current buoyant market conditions.
In the larger of the two deals, an industrial facility at Mildura in regional Victoria was sold for $2.29 million to local private investor Bill Morrish.
Separately, CBRE negotiated the auction sale of a showroom/warehouse in Melbourne’s Thornbury for $1.617 million – a price 25% above reserve. The property was purchased by local investor Tony Iliou of Kima Pty Ltd after a keenly contested auction, which generated 24 bids.
Mr Naselli said the result on Thornbury indicated both the strength of the Melbourne industrial market – as well as the ongoing requirement for agents with the necessary skill sets to guide receivership transactions.
“Whilst the market is bouyout, we are continuing to see a level of receivership activity, albeit to a much lesser degree to what was evident post the GFC,” Mr Naselli said.
The Thornbury facility at 327 Darebin Road is a high exposure showroom/warehouse in Melbourne’s inner north at the gateway to the affluent residential suburbs of Ivanhoe and Eaglemont.
The area is characterised by modern light, industrial premises which have been developed over a 10-20 year period.
“The strong result emphasises the strong demand for city fringe sites and indicates the depth of demand for property targeted at industrial investors,” Mr Naselli said.
The property comprises showroom and offices of 600sqm, and provides a high clearance, clear span warehouse.
In a second mortgagee sale, 504 – 512 Benetook Avenue at Mildura in north western Victoria has been sold through CBRE in conjunction with The Professionals Commercial Division.
The property provides showroom and offices of 448sqm, two workshops (one of 697sqm and one of 823sqm) as well as mezzanine, storage sheds and an onsite residence.
“The property offers impressive existing improvements and there is the opportunity to further develop or subdivide to capitalise on the site’s immediate access to the Sturt Highway,” Mr Kalitzis said.
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CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2014 revenue). The Company has more than 52,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 370 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.
