Amcor sells enormous Melbourne packaging plant
Amcor has sold a prominent fibre packaging plant in Melbourne’s inner west.
The leaseback deal with RF Corval for 512-520 Geelong Road, Tottenham, is worth c$40 million, sources say, which would reflect a net passing yield of over 6.5 per cent.
With 30,815 square metres, it is leased to Opal Packaging Australia, controlled by Amcor branch, Nippon Paper Group.
On 4.7 hectares, zoned Industrial 1, it was marketed for its medium-term development upside.
TMX’s Justin Fried and George Linn were the agents.
Tottenham is about nine kilometres from both the Port of Melbourne and CBD.
In June, we reported Centennial secured Repco arm GPC to a 4416 sqm warehouse, showroom and office in the suburb’s Tottenham Industrial Estate for an initial five years.
A month later, meanwhile, Tesla leased a 4125 sqm storage facility within ISPT’s Central West Industrial Park, in neighbouring Braybrook (story continues below).
RF Corval invest again
Formed by Multiplex founder Andrew Roberts, RF Corval is a Melbourne based investment house and fund manager, on behalf of institutions, family offices and retail investors. It invests in a diversity of assets; in 2021 it bought the Skydeck of Southbank’s Eureka Tower – a hospitality investment – for c$60m.
“RF Corval was attracted to the Tottenham industrial market as it provides tenants with proximity to the Port of Melbourne’s most densely populated areas,” chief investment officer, Oliver Picone, said.
“Given its manufacturing heritage, the facility benefits from high power and gas supply,” he added.
“The property’s prime inner west location is highly sought after by occupiers with the surrounding land use being largely port centric,” according to the executive. “Tottenham and nearby industrial precincts have benefited from gentrification in recent years, limiting supply of industrial product and maintaining upward pressure on rents”.
Also this month, RF Corval sold a Perth CBD office for $75m to Indonesia backed Oceania Property Group.
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