Goodman secures another Alexandria site
Goodman Group has purchased another Alexandria bulky goods complex from Greg Karedis and Peter Cortis-Jones’ Arkadia.
The 3.438 hectare Alexandria Homemaker Centre, at 49-59 O’Riordan Street, at the north west corner of Doody, is believed to be setting the group back just over $200 million.
Near Goodman’s 14.4ha Sydney Corporate Park, it is expected to be refit as a multi-level industrial product, which part-explains the competitive sub-four per cent yield.
The address is also a kilometre from the Gardeners Place Homemaker Centre – 494 Gardeners Rd – which the institutional giant acquired from Arkadia for $75m in 2020.
Alexandria Homemaker Centre will be the 104th asset held by the $11.1 billion Goodman Australia Industrial Partnership.
Alexandria Homemaker Centre
Goodman brokered the Alexandria Homemaker Centre deal direct; Arkadia paid c$46m in 2010.
Containing 22,417 square metres, surrounded by 717 car parks, the asset is configured with 26 tenancies and baby change rooms.
A company representative declined to comment about any part of the speculated deal, including when the property could be redeveloped.
The cash and scrip purchase is expected to be finalised this financial year (story continues below).
At its third quarter update this week, Goodman said it had $2b in liquidity.
Last September, the group, for GAIP, paid developer Jean Nassif $140m for a 7.6ha Clyde warehouse, part leased to Australia Post.
The manager also recently secured major leases for portfolio assets including at Huntingwood to Tradezone, and Dandenong South, in Melbourne, with Power Pak.
Burgeoning precinct
The O’Riordan St site is near Landcom and the City of Sydney’s multi-billion dollar Green Square urban renewal project, which affects parcels in Alexandria, Beaconsfield, Roseberry and Waterloo.
Last week the state government was part of a syndicate which sold a 2.86ha Zetland holding, also part of Green Square, for c$180m to residential developer Diecorp.
Arkadia paid ISPT $63m – reflecting a six per cent return – for Gardeners Place in 2016.
Mr Karedes’ father, Theo, sold an eponymous branded liquor business to Coles for $175m in 2002.
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