BIG W LOGISTICS FACILITY TO WHET INVESTOR APPETITE

Written on the 19 August 2015

BIG W LOGISTICS FACILITY TO WHET INVESTOR APPETITE

A PURPOSE-built Big W distribution centre in South Australia is to be offered for sale by the Lend Lease managed Australian Prime Property Fund Industrial, amid continued demand for investment-grade Australian logistics assets.

CBRE has been appointed as the exclusive marketing agent for the landmark property, which is situated in the satellite transport hub of Monarto, 53km south east of the Adelaide CBD.

Expressions of Interest will close on September 17, with the campaign to be managed by CBRE's Chris O'Brien, Matt Haddon, David Reid and Rory Hilton.

The facility, located on a 37.2ha site on Ferries McDonald Road, comprises a 64,459sqm distribution centre, incorporating a two-level office, cool room and centralised warehouse.

Subject to planning approvals, the facility has potential for expansion and development.

O'Brien, CBRE's national director of industrial investments, expects the campaign to generate significant onshore and offshore interest from listed REITs and institutions, wealth funds, syndicators and closed-end funds.

"The property features an exceptional lessee covenant from Woolworths," he says.

"The remaining lease term is in place until July 2021, and with strong prospects for tenant retention and the current strength of the South Australian investment market, this will underpin interest from a wide range of buyer groups.

"Traditionally, there has always been a considerable demand from investors for east coast logistics assets, which are currently hotly contested and scarce in their availability.

"As such, there is now a shift in focus for many investor groups, both offshore and onshore, who have missed opportunities and are now widening their geographic search."

The property is key piece of infrastructure for Woolworths, with the tenant currently supplying 60 Big W stores across four states from this distribution facility, including Western Australia and the Northern Territory.

The current weighted average lease expiry for the Monarto facility is 5.9 years, as at September 1, 2015, with 10 options of five years available.


Latest News

ONE OF AUSTRALIA'S 'DOPE HOPES' MOVES CLOSER TO IPO

QUEENSLAND Bauxite (ASX: QBL) is planning an independent ASX listing for its majority-owned cannabis producer, with Q...

AFTERPAY GOES TRANS-TASMAN WITH TRADE ME DEAL IN NEW ZEALAND

AFTERPAY Holdings Ltd (ASX: AFY) has entered into an agreement with New Zealand trading site Trade Me Group Ltd (A...

THE 2017 MELBOURNE TOP 50 COMPANIES REVEALED: NUMBERS 50 TO 41

THIS WEEK Business News Australia will reveal the 2017 Melbourne Top 50 Companies, featuring all the movers and sh...

FORMER MFS EXECUTIVES HIT WITH DISQUALIFICATIONS AND MASSIVE FINES FOR MISAPPROPRIATING FUNDS

FIVE key players involved in an investment company that collapsed in 2008 owing $2.5 billion have been ordered to ...

Related News

AFTERPAY GOES TRANS-TASMAN WITH TRADE ME DEAL IN NEW ZEALAND

AFTERPAY Holdings Ltd (ASX: AFY) has entered into an agreement with New Zealand trading site Trade Me Group Ltd (A...

STARTUP SUCCESS BOILS DOWN TO PERSONALITY, SAYS EXPERT

THOSE who own startups will know that there are many essential qualities of a good entrepreneur; their tenacity, fina...

SLATER AND GORDON TAKES SPOTLESS TO COURT

SPOTLESS Group (ASX: SPO) has been hit by a class action launched by Slater and Gordon (ASX: SGH) in the Federal C...

TOPSHOP GOES INTO ADMINISTRATION AMID VOLATILE RETAIL MARKET

TOPSHOP has become the latest in a string of retailers blasted by the volatile retail market, as the iconic fashio...

BOOK YOUR FUNCTION SPACE HERE

 

 

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter