- Site is the fifth Australian acquisition by the US private equity real estate firm
- Will be transformed into an A-grade logistics estate, on-completion value to be $130 million
- The vendor was associated with the Andrianokos family
Cabot Properties, a US private equity real estate firm, has purchased a landholding in Campbellfield for $41 million.
The 93,074 sqm site at 131-149 Somerton Road represents Cabot’s fifth Australian acquisition, following projects in Truganina and two along Melbourne’s southeast.
The site is set to be transformed into an A-grade logistics estate, with an on-completion value estimated to be $130 million.
55,000 sqm of lettable area across the three buildings is included, with tenancies to range from 4,000 sqm to 45,000 sqm.
The site is located around 18 kilometres from the Melbourne CBD and has close access to Cooepr Street, Hume Freeway, Metropolitan Ring Road and Tullamarine Freeway.
“The acquisition complements our existing portfolio and directly aligns with our strategy to develop high quality, sustainable logistics assets in core infill locations,” said Jonathan Herb, Director of Investments at Cabot.
“It is rare to be able to create an estate of this scale and quality in such a core infill location. Our recent experience in similar markets demonstrates there is a lack of high-quality options for tenants in these locations with all our developments leasing well ahead of PC.”
Jonathon Herb, Cabot Director of Investments
Daniel Eramo and Joe Brzezek of CBRE brokered the off-market deal on behalf of a vendor associated with the Andrianokos family. The family has been active in the market, following the acquisition of the Colonnades Shopping Centre.
The announcement comes as the market continues to tighten, with the industrial vacancy rate in Northern Melbourne continuing to fall towards 0.5%.
“Large-scale infill development sites within Melbourne’s core northern industrial precinct are extremely rare,” Mr Eramo said.
“With this purchase, Cabot is poised to capitalise on the rising occupier demand in the market, and capture future rental growth through the development of its new warehouses.”
