Frasers Property Australia is paying $27.5 million for a 43 hectare industrial site in Melbourne’s west.
The Tarneit block at 917 Boundary Road (pictured, top) is being acquired from a private syndicate.
FPA, a division of Frasers Property Limited, which is listed on the Singapore Exchange, plans to build up to 150,000 sqm of warehousing on the site, about 25 kilometres from the city.
The end value of these developments, it speculates, should circle about $200 million.
Frasers Property Australia is “replenishing“
The Boundary Road acquisition comes five months after FPA paid $80 million for a 41.3 hectare industrial zoned building block in Dandenong South, about 31 kilometres south-east of the Melbourne CBD.
Last November, FPA paid $40 million for a 61.3-hectare industrial development site in Epping, about 20 kilometres north of town.
Early last year, it paid Lloyd Williams’ Hudson Conway c$20 million for a 23 hectare parcel in Braeside, 10 kilometres west of Dandenong.
FPA general manager Anthony Maugeri, and business development manager, Matt Gillett, brokered the Tarneit deal.
“We are replenishing our depleted stock in key markets across Melbourne where land values, rents and investment demand is increasing,” Mr Maugeri said.
“The well-located Tarneit property further extends our reach in Melbourne’s largest industrial market, where we have held a strong market presence for over 20 years.
“During that time, we have developed over $1.1 billion dollars’ worth of industrial warehousing including West Park Industrial Estate, Park West Industrial Estate and Access Altona Industrial Estate.
Tarneit site to be launched as an industrial estate by late next year
Though the 917 Boundary Road deal has only been announced today, it has been in the works for some time – FPA applying to the City of Wyndham council in April to sub-divide the parcel.
FPA plans to publicly launch the Tarneit site as an industrial estate by late next year.
The subdivision will include small lot sales and pre-lease, speculative and turn-key development options.
Warehousing and distribution companies are on FPA’s radar.
FPA expects the estate will take between three and five years to create.
Mr Maugeri said the Deer Park Bypass, Western Freeway and Princes Freeway, provide excellent access to 917 Boundary Road.
“The proposed Western Interchange Freight Terminal and Outer Metropolitan Ring Road will also fuel additional demand in the area,” Mr Maugeri said.
FPA is nearing completion of its 310-hectare West Park Industrial Estate, about two kilometres east of 917 Boundary Road.
Read more about FPA in the news by following this link.