Industrial property sales tempt investors

Centuria Industrial Fund, the country’s largest listed pure-play industrial trust, has boosted its portfolio with a new asset valued at $26.2 million.

Located at Bella Vista in Sydney’s north, the warehouse will be repositioned and added to its $2.4 billion portfolio.

The Ormeau facility in Queensland  is one of the Centuria Industrial Fund’s new acquisitions.
The Ormeau facility in Queensland is one of the Centuria Industrial Fund’s new acquisitions.Credit:

CIP fund manager Jesse Curtis said the asset would add to the fund’s exposure in the tightly held northern suburbs industrial sector.
Mr Curtis said the acquisition would be funded through existing debt and took to 12 the number of deals worth a combined $757.2 million completed by the fund in the current financial year. One of which was the cold facility in Ormeau, Queensland.

In Melbourne. two properties are being offered to market by JLL’s Tony Iuliano and Adrian Rowse on behalf of Australian food manufacturer, Patties Foods, which has the world’s largest pie-manufacturing facility.

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The properties, at 169 Princes Highway, Bairnsdale, and 28-46 Bald Hill Road, Pakenham, are being offered for sale in-one-line or individually.

The properties will be leased back to Patties Foods under a 30-year triple net sale and leaseback agreement, demonstrating Patties’ long-term commitment to continue manufacturing at both sites.

JLL’s head of capital markets industrial & logistics Australia, Mr Iuliano said he expected the assets would attract a wide range of investors due to the long-term income stream that is secured by the long-term tenant.

“Throughout 2020, we saw $2.23 billion of industrial investment sales as sale and leaseback transactions and we expect this trend to continue into 2021 and beyond,” Mr Iuliano said.

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Source: Thanks smh.com