Private equity firm Redhill Partners has made its foray into the Perth industrial market, swooping on a Canning Vale property for $6.825 million.
Located at 12-16 Catalano Road, Canning Vale, the property comprises a 3,433sqm industrial facility, and large hardstand area, situated on a 1.28ha site. The property is leased to specialised engineering group Barclays Engineering.
CBRE’s Geoff Fraser, Director of Advisory & Transaction Services, Industrial & Logistics, said the sale underlined the industrial market’s resilience in challenging economic times.
“This sale highlights the strength of the investor market for quality properties with strong covenants and located in premium industrial areas. This was an off-market transaction, where both parties worked extremely well together to achieve an excellent result for all concerned.
Redhill Partners’ Daniel Johnston said the property’s core location, landholding and lease structure to a long-standing tenant were central to the deal.
“The acquisition was well received by our investors, who were attracted to the 8.5% average annual distributions and lease structure. We are now in the early stages of our second industrial acquisition, with expressions of interests from investors now open and once again showing the strong demand for industrial assets with stable returns,” Mr Johnston said.
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 2019 revenue). The company has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 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.
