High-value leases finalised in Dandenong South

Three high-value leases have been finalised in Dandenong South, surpassing the $150 per sqm threshold, amid economic uncertainty.

CBRE’s Alex Grima, Patrick Noone, and Fraser Pearce negotiated the lease deals on behalf of three separate landlords.

Southern Euro, dealers of new Fiat vehicles and used cars, secured a long-term lease for 412-416 South Gippsland Highway at $171 per sqm. The transaction occurred three months before the property became vacant, with no incentives offered. Southern Euro was drawn to the property’s main road exposure, substantial rear yard, and drive-through capabilities.

KOMO Glass and Hardware has leased U2/15, 43-63 Princes Highway from ESR Australia in an off-market deal. The property's expansive loading face, loading canopy and landlord profile were the major drawcards for KOMO Glass and Hardware.

Atlas Fine Foods has secured a 10-year lease for an office/warehouse measuring 3,516 sqm at 34-38 Edison Road, with minimal incentive.

CBRE's collective success across these transactions underscores the underlying strength of the southeast market, displaying remarkable resilience in challenging economic times.

“Despite economic challenges, these three leasing transactions in Dandenong South demonstrate the resilience of the southeast industrial market. This is largely driven by its low supply which is not forecasted to increase until 2026. CBRE’s strategic approach and market strength continue to deliver strong results for our clients,” Mr Grima said.