Colliers and JLL have been jointly appointed to manage the sale on behalf of McPhee Group. Gavin Bishop Head of Industrial Capital Markets at Colliers and Tony Iuliano Head of Capital Markets Industrial & Logistics at JLL have been jointly appointed.
Colliers and JLL have been jointly appointed to manage the sale on behalf of McPhee Group. Gavin Bishop Head of Industrial Capital Markets at Colliers and Tony Iuliano Head of Capital Markets Industrial & Logistics at JLL have been jointly appointed.
The assets are secured by an exceptional tenant profile with both Government and national covenants including Australia Post, Rinnai Australia, Total Logistics Solutions and McPhee Distribution Services. The c. $200 million offering provides a combined gross lettable area of 70,465 sqm, a total site area of 142,465sqm, a secure WALE of 6.7 years, and a significant net passing income of $7,164,572 per annum. The four brand-new, state of the art distribution centres are built to the highest of specifications by market leading builder Vaughan Constructions.
maintained that the portfolio’s superior lease covenants, substantial land holdings, future flexibility, prime locations, and further development potential (STCA) would appeal to a wide audience on an international scale.
Gavin Bishop, Head of Industrial Capital Markets at Colliers maintained that the portfolio’s superior lease covenants, substantial land holdings, future flexibility, prime locations, and further development potential (STCA) would appeal to a wide audience on an international scale.
“The Australian industrial and logistics sector entered the COVID-19 pandemic with very strong property fundamentals – including low vacancies, limited speculative activity, relatively strong occupier demand, and growing capital appetite.”
“These fundamentals will continue to drive the resilient performance of the industrial sector. In particular, the global structural eCommerce tailwind is relatively immature in Australia and is expected to further fuel the trajectory of growth,” said Mr Bishop.
Tony Iuliano, Head of Capital Markets Industrial & Logistics at JLL said, “The eCommerce market in Australia had been growing relatively consistently from 2012 to 2019 at approximately $2 billion per annum and accounted for 9.3% of total retail sales as at the end of 2019. As a result of the dramatic shift in consumer behaviour that stemmed from lockdowns across the country, the adoption of eCommerce has accelerated rapidly in 2020 – now accounting for 12.3% of total retail sales.”
“Despite the volume of growth recorded last year, the penetration rate of 12.3% remains well below the global average, which suggests that there is scope for further occupier demand and increased take-up. This is expected to drive significant rental growth across Australia, in particular within core logistics precincts such as Truganina and Berrinba.”
“The rise of eCommerce, combined with other tailwinds supporting the occupier market, has seen the industrial & logistics sector in Australia become increasingly institutionalised, with buyers drawn in by strong lease covenants and stable income collection. We have also seen increasingly sophisticated capital sources enter the market in recent years, including Sovereign Wealth Funds and Insurance Groups, who were substantial net buyers of Australian industrial & logistics assets in 2020,” said Mr Iuliano.
The portfolio is being sold in one line via International Expressions of Interest closing 4:00pm AEST, Wednesday 9th June 2021.
To request a copy of the Information Memorandum please contact one of the marketing agents via the contact form below.