Logistics real estate group ESR has continued its foray into the Australian market with the record $142m purchase of a strategic Sydney development site in Horsley Park.
CBRE’s Cameron Grier and Jason Edge negotiated the sale of the 20.78ha industrial site on behalf of construction materials group CSR.
“The property is one of largest serviced industrial land parcels to transact in years,” Mr Grier said.
“ESR’s purchase highlights the strength of the Sydney market and the outlook for continued rental growth. This is underpinned by the shortage of zoned and serviced land in Sydney’s outer west and unprecedented government investment into key infrastructure projects.
The purchase spearheads a major Australian development push for ESR, following its purchases of the PropertyLink and Commercial & Industrial Property businesses.
The Horsley Park site can accommodate close to 100,000sqm of industrial development, with an end value of circa $300 million, subject to the relevant planning approvals
The vacant Horsley Park site, known as Stage 2, 327-335 Burley Road, is located approximately 17 km west of the Paramatta CBD and offers easy access to the M4 and M7 motorways.
It offers significant scale in one of Australia’s most highly sought-after industrial and logistics markets, which is already home to blue-chip occupiers including DHL, Coles, and Toll.
The sale represents the latest land divestment for CSR, which sold an adjoining 10ha tranche of land to Frasers in April 2018 for $58m.
For Australian/international news or global stories, follow us on Twitter: @cbreaustralia About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2018 revenue). The company has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.