Charter Hall buys South Guildford warehouses, land

The Cleanaway South Guildford Material Recovery Facility (top) and the Chemist Warehouse South Guildford Distribution Centre.

Charter Hall has spent $50.75 million on two modern South Guildford warehouses and a c8354 square metre development site which connects them.

The priciest property, 72 Hyne Road, is leased to Cleanaway which pays annual rent of $1.34 million on a lease expiring in 2032.

Last month, Centuria acquired a Malaga property leased to Cleanaway.

With options, the occupier can stay until 2047.

On 2.75 hectares, the asset contains a 10,774 square metre structure covering 39 per cent of the block.

Operating as the Cleanaway South Guildford Material Recovery Facility, it replaced another which was destroyed by fire in November, 2019.

The second investment – 22 Hyne Rd – is the Chemist Warehouse South Guildford Distribution Centre.

Spreading over a 2.18ha parcel, it includes an 8400 sqm complex completed about seven years ago.

Offices comprise an above-average 13.6pc of the gross floor area.

The tenant pays annual rent of $805,000 on a lease running five more years; with options it can stay until 2036.

This property is designed to be split into multiple tenancies should the occupier vacate.

Both rental agreements contain fixed reviews – three pc for Cleanaway and 2.5pc for Chemist Warehouse.

The vacant land

To this south of the Chemist Warehouse property is the vacant tract; it also backs onto the Great Western Highway Bypass, opposite Perth Airport.

A structure of up to c3884 sqm and a car park can replace it, if connected to 22 Tyne St (story continues below).

Alternatively, a c2500 sqm standalone building with full-drive around access could be considered.

Low yield

JLL’s Tony Iuliano, Nick Goodridge and Andrew Fife represented the vendor, a private investor.

Charter Hall will hold the properties (outlined, image, top) in its Direct Industrial Fund No 4.

The agents said nine offers were received following an expressions of interest campaign which closed on July 15.

Excluding the undeveloped land, their deal reflects a c4.5pc initial yield.

Busy quarter for major Perth industrial deals

South Guildford is about 13 kilometres east of the CBD.

The region, the brokers added, is one of Western Australia’s best performing and tightly held industrial corridors.

Yesterday we reported Dexus was in talks to acquire the Jandakot Airport and Jandakot City business park from Ascot Capital for more than $1 billion.

A fortnight ago, following another JLL deal, Vekta Automation spent $9.625m on a Malaga warehouse recently vacated by Betts Group to occupy.

Near to it, last month, Centuria outlaid $11.75m for a 1.8ha maintenance depot also leased to Cleanaway.

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Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of