Blackstone buys up industrial Sydney properties in Smeaton Grange
Written on the 15 November 2018 by Business News Australia
One of the world's leading real estate investors has acquired four properties on the outskirts of Sydney for $50 million, representing one of just a few industrial transactions in the city's outer south west in recent months.
Blackstone secured the properties spanning a total warehouse area of approximately 29,500sqm in an off-market sale conducted by CBRE.
CBRE describes the Smeaton Grange properties as A-grade, located at 157 Hartley Road, 145 Hartley Road, 23 Anzac Avenue and 18 Anzac Avenue.
Three of the four properties remain tenanted by the private vendor until late next year. 18 Anzac Avenue is tenanted by ACM Parts.
CBRE's Adam Tresidder, Moshe Greengarten and Jason Edge conducted the off-market sale process on behalf of the private vendor.
"Given the scale and quality of these properties, we identified an opportunity for the vendor to maximise returns by bundling four of their assets into one portfolio," Tresidder said.
"Blackstone was attracted to the portfolio's compelling investment fundamentals. Furthermore, the varying warehouse sizes also provided an ability to spread of, which was another key attraction," he said.
"We are currently seeing strong rental growth in the sub 5,000sqm market, with two of these four assets acquired sitting within this range."
CBRE's Tom Rourke said the sale represented one of just a few industrial transactions in Sydney's outer south west in recent months.
"Stock supply remains tight in Sydney's outer south west with yields continuing to compress in Q4 2018," he said.
"We are seeing an increased demand for both owner/occupiers and investors down the M5 corridor on the back of major infrastructure projects and the regentrification of once industrial precincts around South Sydney."Never miss a news update, subscribe here. Follow us on Facebook, LinkedIn, Instagram and Twitter.
Business News Australia
Author: Business News Australia