- ASX-listed Irongate Group acquires 153 Main Beach Road, Pinkenba Queensland
- The industrial property is in a prime Brisbane location
Real estate investment trust company, Irongate Group (ASX: IAP) has recently signed a contract to acquire an industrial property located at 153 Main Beach Road, Pinkenba Queensland for $24,750,000.
The purchase price represents an initial yield of 5.3% and the acquisition will be funded through IAP’s existing syndicated debt facility.
Constructed in 2018, the property comprises 1,852 square metres of office and warehouse accommodation and 33,615 square metres of high-quality hardstand.
The property is currently leased to Australasia’s largest industrial, auto, and commercial eCommerce business, Grays. Their lease expires in March 2028 with fixed annual escalations of 3.5%.
IAP CEO, Graeme Katz said the industrial facility provides the group with a strategic landholding in one of Brisbane’s premier industrial locations.
“Pinkenba is immediately adjacent to Brisbane Airport and the area will benefit from infrastructure upgrades associated with the new Brisbane International Cruise Terminal. We believe the Brisbane industrial sector currently offers relative value and the acquisition will increase IAP’s exposure to industrial property to 32% by both income and value.”
Graeme Katz, CEO of Irongate Group
The acquisition is due for completion on 22 March 2021.