Monarto South
The vacant warehouse in Monarto South. Image supplied.
  • Big W had occupied the facility for 20 years until it was sold to a private Sydney-based developer last year
  • Located within the Monarto transport precinct
  • The local Mayor says the council will support nay business wishing to move to the area

An industrial facility in South Australia – the largest of its kind nationally – is up for lease following the sale of the property.

Located at 93 Ferries McDonald Road in Monarto South, 60 kilometres southeast of the Adelaide CBD, BIG W occupied the purpose-built 64,459 sqm facility for 20 years, with the lease ending last year.

The news comes as the logistic and industrial sectors continue to boom, fuelled in particular by e-commerce.

Following a highly competitive expression of interest campaign, the ‘South Eastern Distribution Centre’ was sold in 2021 by APPF (Lendlease). An undisclosed active Sydney-based developer purchased the site while seeking out large-scale regional opportunities.

Knight Frank, in conjunction with One Commercial, transacted the sale.

Knight Frank’s David Ludlow, Marco Onorato and Darren Benson, alongside David Reid, Jon Nitschke and Shaun Timbrell of CBRE, are tasked with the leasing campaign.

Along with the warehouse accommodation that has existing racking in place, the facility includes a two-level office and office room. The team said the existing elements of the building allow for a more efficient handover period to a new tenant.

Size and location key

Mr Ludlow reiterated the distribution centre was not just the largest of its kind nationally, but also the best value warehousing in South Australia.

“With the national industrial leasing market at almost full occupancy, options of this size and quality with immediate availability are extremely rare,” he said.

“Infill availability in Adelaide is very scarce and the rental cost has increased significantly, putting this option firmly in the minds of budget-conscious occupiers requiring high-grade under-roof storage space combined with vast outdoor storage.

“We have fielded leasing interest from a wide number of occupiers, both local and interstate, including the renewables sector, food production, transportation and logistics and manufacturing, especially those sectors benefitting from the re-shoring of production including pharmaceuticals.

“With Big W – vacating the premises the importance of a successful introduction of a replacement occupier is of great interest to the local community, to draw in new investment and create employment opportunities.”

David Ludlow, Knight Frank

Mr Reid added the facility is located within the Monarto transport hub, which connects to the Auslink federally-funded highway and rail network.

This outstanding transport connectivity has made Monarto the location of choice for major occupiers including Scotts Transport, APC, Adelaide Mushrooms, Inghams Enterprises and Viterra,” he said.

“The property is strategically located to take advantage of key transport infrastructure, with the M1 less than two kilometres from the facility, allowing efficient access to the connecting link between the cities of Adelaide and Melbourne.

“Monarto is strategically positioned on the southeastern side of Adelaide, ideally located for transport operators who service Melbourne to Adelaide to Perth transport routes using road and rail infrastructure.”

David Reid, CBRE

Mayor Brenton Lewis of Murray Bridge added the council would strongly support any potential business that wishes to relocate in the area.

“We will do anything in our power to assist business, as this will directly benefit the residents of the growing Murray Bridge area in terms of jobs particularly,” he said.

“This facility is a once-in-a-lifetime opportunity for the right business to take advantage of it. “It’s quite unique in both its size and location, being in an extremely strategic location for South Australia.

“It is close to Adelaide in real terms, just being off the South Eastern Freeway, and provides easy access to the north, south, east and west.”

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