GPT banks $256.2m from Sydney, Melbourne investments

Chef’s Hat in 2019 leased a Citiport warehouse (outlined).

The GPT Group has sold two similarly priced east coast investments with imminent vacancy to NashCap.

A Citiport tenancy known as 644 Lorimer Street rented to CSE Crosscom two years ago.

In Port Melbourne, the deal includes the 2.55 hectare Citiport business park at 650 Lorimer Street, on the south east corner of Salmon.

With 26,900 square metres – about 16 per cent of which is vacant – occupiers in a prominent five level office opposite the Yarra River include Intralot, MSS Security, Ricoh and SAI Global.

The asset also contains nine warehouses tenanted to, amongst others, Chef’s Hat and CSE Crosscom.

The Weighted Average Lease Expiry is three years.

GPT paid Salta $61m for it in early 2012.

NashCap is speculated to be spending c$128 million.

This pocket of Port Melbourne, also part of the Fishermans Bend urban renewal zone, is four kilometres south west of the CBD.

Camellia sold after 34 years

Meanwhile in Camellia – about 20km west of Sydney – GPT is banking a speculated just over $128m from the 7.99ha Rosehill Business Park.

With three office and warehouse facilities containing over 41,900 sqm, part of which is temperature controlled, it is leased to, amongst others, Australian Pharmaceutical Industries and Peter Violaris and Jim Raptis’ Go Logistics – the latter which occupies three quarters.

The WALE is 1.3 years.

GPT acquired it in 1998 (story continues below).

Rosehill Business Park, in Camellia (shaded), spreads 7.99 hectares.

“GPT has added significant value to each of these assets through recent successful leasing,” a statement said.

“The [blended] sale price reflects a 1.5pc discount to book value at 30 June, 2022, and a 9pc premium to book valuation at 31 December, 2021,” it added.

Camellia is about 20 kilometres west of Sydney, near Parramatta.

Settlement is scheduled early next year; longer term NashCap is expected to revitalise both properties.

With proceeds, GPT will repay debt.

Nashcap invests again

The acquisitions come seven months since NashCap, with Blackrock, as part of a three year old joint venture, the Urban Logistics Co, outlaid $120m for the 4.1ha Kirby Industrial Park at Rockdale.

With that deal, the partnership has invested about half of its c$2 billion mandate.

ULC also controls a development pipeline, expected to deliver c$150m of product.

Last October, NashCap, in another alliance, with the Lowy family’s Assembly Funds Management, spent $36.25m for a 99 year leasehold to The Rocks’ historic Long Lane precinct.

That pair also recently purchased Melbourne’s Evo apartment complex, at Parkville, as an investment – for over $60m.

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Marc Pallisco

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