Centennial outlays $25.85m in Brisbane

The Pinkenba property is vacant.

Centennial Industrial and Logistics (CIL) has purchased two Brisbane industrial assets from Pipeclay Lawson Limited.

The priciest, 141A Boundary Road, on the south west corner of Reedy, in Oxley (pictured, top), is costing $15.425 million.

Sentinel recently sold 141 Boundary Road, Oxley to Centennial.

On 2.1 hectares, it contains a 3153 square metre warehouse occupied by Chep Australia which has five years remaining on a lease.

The deal reflects a 5.67 per cent net passing yield.

The property covers just 15pc of the block.

Last December, Sentinel sold the group the factory next door – 141 Boundary Rd – for $12.05m.

In Pinkenba, CIL is spending $10.42m on a vacant asset at 87 Bancroft Rd.

This site spreads 1.974ha.

A 3563 sqm warehouse spreads over 18pc of it.

More than 30 assets

Following the acquisitions, Centennial holds more than 30 industrial and logistics assets.

Last month it purchased 1021 Beaudesert Road in Archerfield, south of Brisbane.

It also owns product in Adelaide and Sydney (story continues below).

In Melbourne last financial year, the group acquired the outgoing Furniture Galore head office and distribution centre in Epping for $19.215m and a Moorabbin print plant rented to Amcor ($27.45m).

CIL is also constructing two warehouses speculatively beside a Campbellfield investment for which it paid $13.3m last December.

Industrial demand to rise all year: agents

Colliers’ Gavin Bishop, Sean Thomson and Anthony White represented Pipeclay.

“These sales represent the strength of the industrial…market in Brisbane and the strong demand for land rich infill…investments,” Mr Bishop said.

“141A Boundary Rd encompassed a clear span warehouse of portal frame and metal cladding accessed via multiple container height rollers, with associated well-presented office accommodation,” according to the agent.

The Pinkenba property, he added, contains a large clear span workshop too.

It also features multiple gantry cranes, oil lines, service pits, a large power supply and wash bay.

“The property was fully refurbished in 2020 with two levels of high grade commercial space,” the agent said.

“We expect continued strong demand for industrial assets for the balance of the year,” Mr Bishop added of the backdrop.

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Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of realestatesource.com.au.