Brisbane, 06 May 2016 – More than 10,000sqm of prime real estate in the heart of one of Brisbane’s most sought after industrial precincts has been listed for sale.
CBRE’s Ed Bull and Nick Witheriff, in conjunction with Cushman & Wakefield’s Michael Callow, have been appointed to sell the property at 670 MacArthur Avenue via an Expressions of Interest campaign.
Strategically positioned on the border of Eagle Farm and Pinkenba – one of Brisbane’s most established and in demand locations – the 10,360sqm site comprises two modern buildings totalling 5,577sqm, securely leased to ASX-listed Coventry Group and current ASX aspirant Reliance Worldwide Pty Ltd.
Building One consists of a 3,328sqm warehouse/office facility leased to Reliance Worldwide Pty Ltd. Building Two is a 2,249sqm facility leased to Coventry Group, home to its state office and Pinkenba Trade Counter, as well as being the northern region distribution centre
Constructed in 2004, the two modern freestanding tilt panel facilities offer a WALE of 3.53 years and net income of approximately $780,000 per annum [as at 1 April 2016]. Both tenants have shown their commitment to the property by renewing leases within approximately the past year.
Mr Bull said the shortage of prime industrial investments with quality tenants and investment fundamentals, coupled with the current strong investment appetite, meant the opportunity would be hotly contested.
“On the back of what is already a strong performing environment for the industrial market at present, the investment fundamentals of this asset are further enhanced by its attractive tenant profile,” Mr Bull explained.
“The opportunity to secure a sizeable presence in Brisbane’s sought after Eagle Farm/Pinkenba precinct - with the added security of one already listed ASX tenant and the other creating media exposure as it prepares to list via the initial public offering, valuing the Reliance business at a market capitalisation of $1.3 billion - is expected to attract interest from both offshore and local groups.”
Mr Callow added that leasing activity for comparable properties in the size range in the area and the displacement of tenants from congested city fringe pockets to the Eagle Farm/Pinkenba precinct was fuelling rental growth which added to the asset’s appeal to investors.
The property is being offered for sale via Expressions of Interest closing May 5, 2016.
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