Cadence, CapitaLand trade $102m distribution centre
EXCLUSIVE
CapitaLand Ascendas REIT has quietly sold a major Brisbane industrial investment held a decade.
Charlie Buxton’s Cadence Property Group is paying $101.8 million for 95 Gilmore Road, Berrinba.
Also known as 2-56 Australand Drive, the result is 9.5 per cent over book value ($93m).
CapitaLand outlaid $76.8m.
Berrinba is about 27 kilometres south of Brisbane’s CBD.
Cadence returns to Brisbane
Developed c2013, on 9.56 hectares with significant hardstand, 95 Gilmore Rd contains a 41,318 square metres, designed as a dual-building distribution centre.
CEVA was the first occupier.
Nowadays Tony Innaimo Transport is the tenant.
Settlement is scheduled by the end of this year.
William Tay, executive director and chief executive officer of CapitaLand Ascendas REIT Management Limited, as the manager of CapitaLand Ascendas REIT, said proceeds will be tipped into financing committed investments, paying down debt, extending loans and subsidiaries, funding general corporate and working capital need (continues below).
Unitholders might be delivered a distribution, he added.
Below replacement cost: Cadence
The improvement’s site coverage is low, a Cadence spokesperson said.
“This marks our first Brisbane acquisition since 2020 following extensive research into Queensland’s logistics fundamentals,” they added.
“It reflects a deliberate move to reestablish our presence in one of Australia’s strongest industrial markets,” according to the representative.
“The asset was secured at a material discount to replacement cost with long-term value creation potential through active management and targeted capital works”.
The deal comes three months since we reported Cadence paid Dexus c$40m for Port Melbourne’s 1.7ha Aquatica Business Park.
In June, Mr Buxton bought the Keywest Distribution Centre, in Melbourne, and, in Sydney, an Erskine Park industrial investment, from Stockland.
That outlay was $170.5m.
Colliers’ Sean Thomson, Gavin Bishop, David Brisk and Nick Evans marketed 95 Gilmore Rd off-market.
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