2-26 Nylex Avenue, Salisbury South Sells for Over $10 million.
Despite the obvious hurdles faced by the industry this year, NAI Harcourts (Sheppard) has managed to complete an incredible commercial real estate transaction this week, with 2-26 Nylex Avenue, Salisbury South selling for over $10 million.
The prime industrial investment site sprawling 2 titles and approximately 60,600sqm, was sold for $10.5 million to a single interstate investor sight unseen after 9 months of gruelling phone and online negotiations.
Director Commercial Sales, Harcourts Sheppard, Gary Taplin who handled the sale, said the result was one of the largest undertaken for the state this year.
“Considering its dimension, this is a very large domestic property for South Australia,” he explained.
“It is truly multi-national in its complexity, being leased by two blue-chip companies, specifically one in the manufacturing of air-conditioning products which are shipped all over the world.
“To be able to complete this sale to an interstate investor, while he was not able to travel to the actual site due to coronavirus restrictions, shows that there is great confidence in major assets in our state.”
Mr Taplin said despite what has been a tough year, demand for quality commercial properties throughout the region had remained strong.
“There’s no doubt it’s probably been a bit quieter over a longer period of time in 2020 but since restrictions have begun to ease, it has picked up dramatically.
“The impact of covid on overseas investors has clearly had the biggest effect, but now that it is loosening up a bit we are seeing a great shift in the market,” Mr Taplin explained.
“South Australia is on an upward trend. We have more defence and space industries taking up residence here and large distribution outlets currently under construction which all bodes well for the future of commercial property.”
National Manager, NAI Harcourts Australia, Jason Luckhardt said as the commercial arm of the global Harcourts business, NAI Harcourts had found that the highly connected nature of its suburban office model had been an incredible advantage throughout this year’s disconnected times.
“We have been able to identify property across a range of asset classes that produce very appealing returns to an increasingly robust investor class. This sale mirrors activity in the sub $20 million dollar range where we are seeing private money find a home,” he explained.
“This latest success in Salisbury to an interstate investor joins other recent successes our group has transacted in regional locations north of Brisbane (Gympie and Bundaberg) and additional sales in greater Perth.
“It is an exciting time for us as a group as sales across our network begin to boom,” Mr Luckhardt added.