Barber sells first of five unbuilt cold storage investments
Irongate has snapped up another major Sydney industrial investment – this time on a fund-through basis.
The food processing and cold storage facility at 1-3 Zeleny Road, Minchinbury, due for completion next year, is costing $66.5 million.
The land – two hectares over two blocks – has just set Irongate back $27.875m (these properties previously traded in 2016 for $6.63m).
The improvement will spread 10,171 square metres.
Two substations are also planned.
Barber Property Group and Minus 1 Refrigerated Logistics were the sellers; the latter also pre-committed to the warehouse, which is aiming to be green, using 30 per cent less power than existing cold stores.
Based on the starting net annual rent, the deal reflects a 6.1pc yield.
First of five for Irongate?
Barber has a mandate to develop five cold storage assets for Minus 1 Refrigerated Transport, Minchinbury being the first (story continues below).
The other warehouses are planned in Adelaide, Brisbane, Melbourne and Perth.
When 1-3 Zeleny Rd was listed, the seller said the buyer could form a partnership to deliver the balance.
All up containing c30,000 sqm, the end value of the portfolio could reach $300m, it added.
CBRE’s John Micallef and Moshe Greengarten were the agents.
Also today we are reporting Irongate, which is in the process of boosting its industrial book, bought an Ingleburn business park from EG.
In Brisbane meanwhile the group has bought two Brisbane warehouse investments from ISPT.
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