ESR grows Brisbane portfolio with Wacol deal
ESR has added another Brisbane industrial property to its portfolio – this time at Wacol.
The prefabrication plant on 7.512 hectares at 175 Wacol Station Road is setting it back $38.2 million.
Leased to Wagners until the end of next year, the price reflects a 3.54 per cent yield.
Two warehouses containing a total of 6838 square metres cover just 9.1pc of the holding which was marketed for its redevelopment potential.
The deal comes four weeks since ESR outlaid $17.65m for a seven hectare block abutting its Gilmore Industrial Estate, at Berrinba.
Last year, the investor paid Blackstone managed 151 Property $18m for an 18ha investment at Acacia Ridge – about 10 kilometres east of Wacol.
Development upside
The Wacol property was marketed for its development upside – with two street frontages, Savills marketing agents Toby Hundertmark and Michael Fenton said it is one of the region’s last blocks to accommodate a large-scale business park.
“This new opportunity adds to ESR Australia’s continued growth in Queensland, achieving both scale and exceptional access to major industrial facilities and households,” the group’s Queensland general manager, Craig Robertson, said of 175 Wacol Station Rd.
“This is a complementary site to our other projects across greater Brisbane, where we are seeing strong demand from a range of customers,” he added (story continues below).
Fund managers buying in
A string of major fund managers have acquired Wacol properties this year.
Last month we reported Perth based Westbridge snapped up two investments in the suburb – 72 Formation Street, on 1.89ha, which cost $16.1m from Centuria, and Lot 7, Mercantile Drive, covering 1.17ha, which set it back $8.1m.
In May, Garda outlaid $7.2m for a 4.125ha industrial development site at 405 Progress Rd with plans for a 17,000 sqm estate.
That investor holds another major site in the area – 498 Progress Rd – on which it is building the Pinnacle on Progress business park.
Also in the second quarter, the GPT QuadReal Logistics Trust acquired a Wacol block near its Metroplex Place.
On Coulson St, its newest asset is earmarked for a 17,780 sqm warehouse estimated to have a c$40m end value.
Six months ago a partnership comprising LOGOS, KKR and Mubadala Investments snapped up the suburb’s Rocla concrete plant, on 18.2ha at 3720-3746 Ipswich Rd, with plans for a c$200m, 95,000 sqm industrial estate.
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