Centennial closes fund with Sydney industrial asset
Centennial has bought the final asset for its $780 million Enhanced Value Partnership (EVP), managed for Brookfield.
The 2.05 hectare Wetherill Park property at 15 Daniel Street cost $42.1m.
Sunrise Medical occupies a 7,449 square metre office/warehouse until next year.
An 8000 sqm piece of the site is permit-ready for a multi-tenant estate with an end value circling $74m.
Buildings cover 36 per cent of the site.
ReVest Property Group’s Elijah Shakir brokered the off-market deal.
Madad was the vendor.
The local arm of mattress manufacturer Sealy was the former owner and occupier.
15 Daniel Street
The EVP was launched in September 2023 with a $700m mandate.
With the Daniel St property, the fund is now fully deployed, with 14 assets across the east coast.
“Centennial intends to capitalise on the site’s current DA and growing tenant demand for well-located mid‑size industrial tenancies within Wetherill Park by adding a further 4,600 sqm of gross lettable area across a modern mid-space warehouse, with flexibility to lease as two separate tenancies or in one line,” head of Centennial Funds Management, David Cupit, said (continues below).
“The facility will feature high‑bay warehousing, modern inclusions and amenities, hardstand areas and car parking facilities,” he added.
“Wetherill Park is a core infill market in Sydney’s Central West and had been on the company’s investment radar for some time, given the suburb’s proximity to the M7 and M4 motorways and quick transit times to Sydney and Parramatta CBDs, Port Botany, Western Sydney Airport and Moorebank Intermodal Terminal, all within one hour of the site,” according to the executive.
“The opportunity to acquire a facility with high underlying land value and low site coverage, plus 1.3 years of leasing income, presented a compelling investment opportunity, made more attractive by the option to immediately expand the asset within a core western Sydney infill market.
“The asset is also located within the City of Fairfield’s designated Smithfield‑Wetherill Park Industrial Estate, one of the largest industrial enclaves in the southern hemisphere, boasting almost 3,000 businesses and employing around 20,000 workers.
“Properties of this scale and location rarely come to market, particularly this site, which has been held by the same owner since it built the original warehouse in 1978.
“Its low site coverage will allow us to roll out our Regen+ repositioning strategy, which involves replacing or repurposing facilities within established, land‑constrained industrial precincts and transforming them into mid‑size institutional‑grade assets.
“The site, located adjacent to the high-profile eastern end of Victoria Street and a few minutes from the gentrified café, restaurant and wellness precincts on Horsley Street, will be rebranded as MetroLink Estate when Centennial begins development of the vacant land in mid‑2026″.
Centennial chief executive officer, Paul Ford, added the Wetherill Park asset was secured at a land rate of $1,200 per sqm.
“The EVP fund will have a lifespan of five to seven years,” according to the executive.
“The addition of the Wetherill Park property brings the value of the EVP fund to $780 million, including sites currently under development,” he said.
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