Amazon has pre-committed to a 37,000 square metre fulfilment centre at Dexus’ Horizon 3023 industrial park in Melbourne’s west Ravenhall.
The deal comes three years after the online retail giant rented its first Australian warehouse, spreading 24,387 sqm, across town in Dandenong South.
Five months ago the company announced plans for a 200,000 sqm high-tech, automated distribution complex at Sydney’s Kemps Creek; set to be the biggest of its type in the Southern Hemisphere, it needs 13,500 tonnes of steel to build – a third more than ANZ Stadium.
In that city Amazon also occupies a 43,000 sqm fulfilment centre at Moorebank, owned by Goodman.
The group additionally leased major warehouses at Brisbane’s Lytton (14,400 sqm) and Perth Airport (9000 sqm).
It committed to small areas, too, for its Flex business, at Brisbane Airport and Melbourne Airport.
Last month, Amazon struck a deal to deliver sold consumer products through Myer’s Australian store network.
Amazon’s Ravenhall fulfilment centre
With the Ravenhall pre-commitment, Amazon has increased its Melbourne occupancy some 140 per cent.
It is expecting to store up to six million items there (story continues below).
The facility will also service local businesses which utilise Fulfilment by Amazon.
Horizon 3023 is earmarked for a 130 hectare site on the south west corner of Western Highway and the Deer Park Bypass.
Unusually for an industrial park this side of town, it is walking distance to a train station – Caroline Springs, which opened nearly four years ago.
Ravenhall is 21 kilometres from the city and less than a half hour drive to both Melbourne Airport and Port Melbourne.
It is about c65km to Dandenong South.
“We have invested significantly in our Victorian operations this year to ensure we can continue to improve delivery promises to customers in the state,” the group’s national director of operations, Craig Fuller, said.
Dexus’ chief investment officer Ross Du Vernet added the Ravenhall facility is close to amenity servicing Caroline Springs residents.
The landlord, via its own leasing agents, has been seeking pre-commitments between 3000-100,000 sqm.
The estate at 11-167 Palm Springs Road is also designed with a bar, café and childcare centre.