Asset managers trade major Darwin logistics investment
Trilogy Funds has bought a major logistics investment in Darwin’s east.
The Northline-backed asset, 16 Dawson Street, East Arm, set it back $41.4 million.
A Charter Hall-managed partnership was the seller.
The property was acquired for $29m in 2019 by the then Investec Australia Property Fund, as part of an $81m three-property portfolio bought from Charter Hall Industrial Fund.
It subsequently formed part of Irongate Property Fund I, which was acquired by a Charter Hall-managed partnership in 2022 as part of the $1.6 billion takeover of Irongate.
The deal comes four years since realestatesource.com.au reported Brisbane-based Trilogy acquired its maiden NT asset – the Homezone at 660 Stuart Highway, Berrimah, three kilometres from East Arm, for $29m.
Another East Arm deal
On four hectares within the Darwin Business Park, 16 Dawson St contains 14,835 square metres and extensive hardstand.
Developed in 2015 by Vaughan Constructions, Northline has been the only occupier, utilising it as a warehouse and depot.
Its present lease runs nearly nine years with fixed three per cent annual rent rises (continues below).
There are then two five-year options.
The site has potential for further development, with low site coverage and surplus land.
Trilogy doubles down in Darwin
Trilogy will hold it in a single asset trust – the Northern Logistics Trust – now calling on investors for $23.7m.
The asset manager is promoting a 7.85pc average income yield and 12.5pc IRR over an initial six-year term.
The deal comes 11 months since we reported Sentinel Property Group bought two logistics properties also in the Darwin Business Park at East Arm, on O’Sullivan Circuit, for $57.4m.
Elanor Investors Group was that seller.
Colliers’ Gavin Bishop, Sean Thomson and Mark Jagla marketed 16 Dawson St.
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