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Deals of the week – 17 August 2020
Posted by Development Ready on Aug 17, 2020

Victoria

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CREMORNE - $4.175 million
A Cremorne office/warehouse with strong development potential has  found a new owner, with a Melbourne based owner-occupier spending $4.175 million for the asset.

Situated at 131-135 Dover Street, Commercial 2 zoned property contains a 652sqm double storey brick building, part of which has been fitted out with offices. There is also parking space for eight cars.

Teska Carson’s George Takis managed the deal.

AVONDALE HEIGHTS - $2.7 million
A local developer has purchased a 1,745sqm high-profile corner landholding in Avondale Heights from two private businesses on an unconditional basis for $2.7 million.

The former service station property, located at 49 Military Road is zoned Commercial Zone 1 and is currently occupied by three different tenants on short term leases.

The deal was negotiated by Benson Zhou, Mark Stafford and Julian Heatherich of Savills Australia.

MURRUMBEENA - $1.195 million
A prime retail freehold with dual frontage opposite Murrumbeena Station has flown through its reserve at a recent online auction as 446 Neerim Road sold for $1.195 million.

The asset, that came with a 250sqm building area on a 335sqm parcel of land, was being offered to the market for the first time in nearly 30 years and smashed the reserve by $240,000.

The property was marketed and sold at online auction by Ray White Commercial’s Theo Karkanis.
 

New South Wales

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ALEXANDRIA - $7.25 million
AMA constructions has sold its 3,224sqm industrial property in inner-Sydney to Made Pty Ltd. For $7.25 million

The local strata developer is looking to redevelop the site, 106 Euston Road Alexandria, into industrial units and capitalise on last mile delivery. Located 500m north of the entry to the new WestConnex St Peters Interchange, the site has a 1.5:1 floor space ratio.

The property was brokered by CBRE’s William Gathercole. 

CHATSWOOD - $1.43 million
Expert Teeth has purchased a new facility from Sana Investments Pty Ltd. in the heart of Chatswood’s industrial precinct for $1.43 million. The dental group, which has three practices in Sydney, will move into Unit 27 of the modern Northlight complex at 28 Barcoo Street, setting up a laboratory. 

The split-level, 287sqm unit features a high-clearance warehouse, office with a glass-partitioned boardroom and on-title four parking spaces. Situated just off Penshurst Street and within reach of the Pacific Highway and the centre of Chatswood, the Northlight estate features an on-site childcare facility and cafe. 

CBRE’s Ben Byford and Peter Mangraviti managed the sale.
 

Queensland

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BERRINBA & KEMPS CREEK (NSW) - $172 million
Two distribution centres previously owned by pharmaceutical giant Sigma have been sold with a leaseback to a joint venture between New South Wales’ Treasury Corporation (TCorp) and LOGOS for a total of $172 million.

Located in Sydney’s Kemps Creek and Brisbane’s Berrinba, the two facilities were purpose built by Sigma between 2016 and 2019. The firm have agreed to a 15-year lease with two five-year renewal options, returning a combined starting annual rent of $8 million. The pharmaceutical company has announced that it will retain its facilities in Perth’s Canning Vale and Melbourne’s Truganina.

PwC Real Estate Advisory’s Garrick Pepper and Damian Horton represented the vendor.

SURFERS PARADISE - $6.1 million
A 6-level commercial building in Surfers Paradise has been sold for $6.1 million in a highly contested sales campaign. A consortium of buyers headed by a local investor has purchased the asset which features five floors of office, basement parking and a ground floor retail arcade which connects to the Surfers Paradise RSL.

Holding address at 38 Cavill Avenue the 880sqm property comprises of 2,600sqm of net lettable building area and returns a net income of $300,000pa with 3 levels of office available to lease.

Steven King and James Crawford of Colliers International handled the campaign, which only stayed live for six weeks before reaching sale.
 

Western Australia

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CARRAMAR - $33.5 million
Carramar Village in Perth’s northern suburbs has changed hands for $33.5 million, moving from Canute Global Investments to a national investment syndicate, and representing the largest shopping centre sale in Perth for 2020. 

Built circa 2009, the 5,353sqm centre is situated approximately 28km north of the Perth CBD, on the north western corner of Joondalup and Cheriton drives. The centre is anchored by Woolworths and features 17 specialty stores, including a Priceline Pharmacy and the Healius Medical Centre. The property also includes 2,500sqm of developable land.

CBRE’s Anthony Del Borrello and Richard Cash negotiated the sale.
 

South Australia

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KESWICK - $6.6 million
Nick Scali Limited has snapped up the former Keswick home of local furniture retailer KJ Furniture for $6.6 million.

Sarmarked as the new South Australian flagship for Nick Scali, 19 Anzac Highway offers a 3,615sqm landholding with an existing 3,000sqm showroom around 2.4km from Adelaide’s CBD. The vendors were Australian Classic Timber Furniture and Kimberly James Furniture who have utilised the space for over 25 years. 

CBRE’s Harry Einarson and Mitch Curnow negotiated the off-market sale.



A Dexus-managed wholesale fund has divested a 22-storey A-grade CBD tower in Melbourne, in a deal speculated to be more than $450 million; A a seven-year-old cold storage asset in South Australia’s Direk has traded for just over $63 million - 18.96% above book value.; A five-storey office building in Wollongong's CBD that is home to the Australian Taxation Office has traded hands, from Black Opal Bay to property fund manager Castlerock, for more than $57 million; plus more
September 11, 2020, SYDNEY – A parcel of land within the highly prized Western Sydney Aerotropolis has sold for $5.37 million through Colliers International
​As the report indicates, supply of new projects is quickly slowing across most of Sydney’s regions, with DAs showing the same trend as was evident pre-Covid. As a result, there’s general agreement that there will be a dramatic fall in in 2021-2022 and an even stronger under-supply trend beyond 2022, when supply is expected to collapse.