Sydney, 4 November 2013 – A private Melbourne-based investor has paid $27.5 million for an industrial unit and warehouse complex at Smeaton Grange in Sydney’s south-west.
CBRE’s Angus Klem and Mick Ferreri negotiated the sale of the 1-11 Smeaton Grange Road property, which comprises six industrial units in a modern, strata-titled complex. Building sizes range from 1,143sqm to 9,138sqm.
The property also includes two attached, high clearance freehold title warehouses with associated high grade offices.
The complex offers significant hardstand and wide driveway areas as well as accessibility to the M5 motorway. The combined gross building area is circa 27,331sqm.
Mr Klem said the sale had generated strong interest, with 13 bids – predominantly from high net worth individuals as well as a number of syndicators.
“The strength of investor demand elevated the eventual sale price by $2 million during the second round of the Expressions of Interest campaign,” Mr Klem said.
“The sale provided investors an opportunity to secure a well-developed investment asset which benefits from a strong income stream and multiple medium to long term exit strategies.”
The complex has a Weighted Average Lease Expiry (WALE) of circa six years. It was sold on an initial yield of 10.8%, which Mr Klem attributed to both the property’s location in a secondary but emerging industrial precinct and the relatively large size of the units.
Smeaton Grange is situated approximately 6kms north-west of Campbelltown and approximately 50kms south west from the Sydney CBD.
