Avari divests major Melbourne warehouse
Avari Capital Partners has sold a major north Melbourne industrial investment acquired just before COVID.
The asset manager is banking $24 million for 57 Northgate Drive, Thomastown – a 2.6 hectare holding with 13,667 square metres of improvements.
It failed to sell following an expressions of interest campaign mid-last year.
Rent then was $1.28m per annum net – said to be below market.
The weighted average lease expiry was also 1.5 years.
It is 2.4 years now.
Colliers’ Daniel Telling, Nick O’Brien, Gavin Bishop, Sean Thomson and Billy Kanakis were the agents.
Following an off-market campaign, it is selling to a local private investor (continues below).
Last week, we reported a Newcastle industrial investment was selling to Blackfox Property for $34.25m (continues below).
Coincidentally, that asset failed to sell following a marketing campaign mid-last year, when interest rates were higher and the market was more depressed.
Part now for lease
Mr Telling said the sale represents one of the largest standalone manufacturing and logistics facilities in the Thomastown market.
“Underpinned by two established tenancy profiles in Howe Leather and Trivantage, the asset was acquired by a Melbourne based private investor,” he added.
Colliers’ Corey Vraca and Mitch Purcell are also leasing a 2855 sqm tenancy set to become vacant next month.
Avari paid Peak Equities $16m in December, 2019, settling the following April – a month into the national lockdown.
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