Charter Hall secures Bridgestone at Truganina’s Midwest Logistics Hub
Bridgestone has pre-leased a 25,000 square metre warehouse at Charter Hall’s Midwest Logistics Hub in Melbourne’s Truganina.
The commitment is the fourth at the master-planned business park since last October.
Charter Hall only acquired the 60 hectares making way for it in 2018.
The Sydney based investor and developer has been assisted in the leasing campaign by JLL’s Matt Ellis and Matt Crofts.
Midwest facilities are targeting a 5-star Green Star Design and As Built rating with sustainability initiatives incorporated to date by some of the tenants including 100-300kw PV systems, LED warehouse lighting and rainwater harvesting.
The business park is 22 kilometres west of the city.
The Bridgestone facility at Truganina
Construction of the Bridgestone facility in Palmers Road starts this month and is due for completion in February.
It will combine commercial components, specifically retail, administration and service centres for trucks and cars, with storage and distribution and other operations.
The proposed warehouse will contain a super canopy, 50 metres of hardstand and the office is anticipated will be at least A-grade.
Interestingly, the tenancy includes land which would allow the tyre maker to expand.
The facility will also have a large client car park.
Charter Hall said the location gives the retail brand prominent exposure and is easily accessible for its customers, and delivery trucks, to access
Bridgestone will relocate to Truganina from Derrimut: both are in Melbourne’s west but the new factory is seven kilometres further away from town.
Nationally, it trades from more than 300 stores.
Its office headquarters is in Eastwood, in Adelaide’s inner south east.
Midwest community may be bigger than anticipated
Toll Group was the first occupier to pre-lease at Midwest: seven months ago signing up for a 44,075 sqm complex on behalf of Mars Wrigley.
In March, when Uniqlo leased a 46,000 sqm factory, Charter Hall added the logistics hub was just over half full – suggesting it would contain about 175,000 sqm in structures.
With the Coles commitment (30,000 sqm), and Bridgestone, it said occupancy has upped to more than 65 per cent.
On these numbers, Midwest is looking like it could now contain about 225,000 sqm of improvements and some 80,000 sqm of buildings would still fit.
Strong string of deals, considering Melbourne’s west isn’t under-supplied
As opposed to Melbourne inner city, eastern and south eastern industrial markets, the west has plenty of industrial supply – it is regarded one of the cheapest regions nationally to buy or rent warehouses.
It is also closer to Melbourne Airport, Avalon Airport and Port of Melbourne than its pricier rival industrial precincts outside of the inner city.
Several occupiers have migrated from the north and south east to the west in recent years: Amart Furniture amongst them.
Just six months ago Stockland – another Sydney based institution – announced it would co-develop what would be the biggest industrial development in the city’s west: Melbourne Business Park, worth $2 billion, at a Truganina site not far from Midwest.
In February, Frasers Logistics Australia signed a landmark deal in the suburb: a pre-commitment to CEVA Logistics filling the 310-hectare West Park industrial estate is started marketing space at 16 years earlier.
Other major property owners in the pocket include Goodman and LOGOS.
TM Insight – a tenant advisory specific in the logistics space – represented Uniqlo and Coles.
Neither it, the landlord, or JLL has disclosed the rent Midwest tenants are paying, which is understood to be about $80 per sqm, pa, ex-incentives, for a warehouse with sophisticated technical specifications.
