Property fund manager Charter Hall has purchased a 3.9-hectare site in Sydney’s west for $26 million with plans to develop an industrial estate.
The Charter Hall-managed Core Logistics Partnership says the newly-acquired site, at 56-62 Glendenning Road, in the Glendenning logistics precinct provides the opportunity for re-development into a $60 million multi-unit industrial estate, with a gross lettable area of 21,000 square metres.
CLP fund manager Simon Greig says the transaction follows the strong leasing success at CLP’s $70 million Woodpark estate (lead image) in western Sydney’s Smithfield, slated for completion in mid-2020.
“Both developments are aligned with CLP’s strategy to replenish its development land-bank and grow its New South Wales portfolio to capitalise on forecast rental growth,” Greig said.
Earlier this year automotive group Auto Parts signed a 10-year lease at the Woodpark road estate, at 386-400 Woodpark Road.
Charter Hall Core Logistics Partnership now comprises 35 industrial and logistics properties valued at $1.9 billion.
Rising industrial land prices in both Sydney and Melbourne have seen increased competition for sites close to urban centres and good transport connections.
Earlier this month, Charter Hall Prime Industrial Fund (CPIF) snapped up Viridian Glass factory, a 20-hectare site in Melbourne’s Dandenong South, in a $100 million move.
The latest acquisition adds to Charter Hall’s national industrial and logistics portfolio of $7.6 billion of funds under management.
The transaction was brokered by LJ Hooker Silverwate’s Marcel Elias in an off-market transaction.