Green light for $1.1b Melbourne industrial estate
IFM Investors, which in December took over ISPT, has won permission to start replacing a major Melbourne farm with a $1.1 billion industrial estate (artist’s impression, top).
The 62.3 hectare site at 265 Dandenong Hastings Road, Dandenong South, is set for some 20 warehouses, from 7000-80,000 square metres.
Upon completion the business park is expected to contain c281,000 sqm of product.
ISPT paid c$300 million for the block also known as 265 Western Port Highway in 2022.
The seller, Dr Leo Cantwell, held since 1985.
Development at last
The Dandenong Hastings Rd site abuts Salta’s Nexus Estate, which has been taking shape in stages over recent years and where an intermodal is planned.
ISPT applied to redevelop it six months ago.
The permit is for the first stage.
Pre-construction works are expected to start next quarter, as is a leasing campaign (continues below).
The estate is expected to take five years to deliver.
A 5-star Green Star rating is projected, buildings to feature solar PV systems, rainwater tanks and EV charging.
Recycled materials will also be used for construction where possible – which the developer expects will result in a 10 per cent reduction of embodied carbon.
“This is the largest industrial project we’ve undertaken in recent times,” IFM project director, Matthew Cox, said.
“The potential positive impact it will have on Victoria’s industrial market will be immense – projects of this scale rarely come on the market and we’ve already had strong interest from a pre-leasing perspective,” he added.
“A project like this is a win-win – delivering much needed industrial facilities and creating jobs and economic growth while helping us deliver long-term risk adjusted returns for our clients and the millions of working people they represent,” according to the executive.
Dandenong South is about 31 kilometres south east of town.
Also this month we reported Pelligra Group launched the sales campaign for industrial estate – the first stage of the redevelopment of the ex-Ford factory, in the city’s north Campbellfield near the Broadmeadows border.
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