Hino Motor Sales Australia, the local entity of the Japanese truck maker which is a subsidiary of Toyota Motor Corporation, is the latest tenant to relocate industrial functions from Sydney’s south to its outer west.
The occupier has signed a 10-year lease at a Horsley Park business park being developed by Fraser Property Industrial on a 10-hectare site it acquired from CSR in 2018, 41 kilometres from the CBD.
Hino’s proposed 9230 square metre complex, 2 Johnston Crescent (artist’s impression, top), will accommodate a spare parts division and training facility – replacing functions currently undertaken at Taren Point, 20 kilometres from town.
The company intends to maintain its office headquarters at Caringbah – about four kilometres south of Taren Point.
Hino’s Horsley Park distribution centre
Just 230 sqm of the Horsley Park structure will be fit out with offices – the balance will store parts including those required to complete cab assemblies once trucks arrive in the country.
The purpose-designed facility will also offer an Early Suppression Fast Response (ESFR) sprinkler system, 30kw solar photovoltaic (PV) system, 34 metre loading area, 20 metre awnings and parking for 83 vehicles.
FPI’s Ian Barter, general manager, Northern region, expects construction to be complete by March, 2021 when it aims to receive a 5-star Green Star Design & As Built rating.
The landlord also controls a 20.4 hectare business park in the suburb with land owner Western Sydney Parklands Trust.
Better service expected by centralising parts distribution business: agent
Hino Motor Sales Australia was represented by Colliers International national director Industrial Advisory, Occupier Services, Nick Greenwell who said centralising the truck maker’s parts and distribution business to Horsley Park “optimises its supply chain network, providing better and faster service to their customer base whilst reducing occupancy costs”.
The agent added the Western Sydney Employment Area (WSEA) has excellent heavy vehicle access to both the M4 and M7 motorways via Old Wallgrove Road.
“WSEA was identified over a decade ago as a major area for logistics and warehousing operations as a direct result of its access to major motorways,” Mr Greenwell added.
“The neighbouring Mamre Road Precinct in Kemps Creek is due to be rezoned to industrial by the Department of Planning in the first half of 2020.
“It will accommodate the majority of future demand in Western Sydney, alleviate some of the supply issues which have suppressed activity in the area and create thousands of diverse, local jobs to generate significant economic growth for the Western City District”.
Last month Roblan Holdings sold a distribution centre in Leichhardt, six kilometres west of the Sydney CBD, ahead of a move to Ingleburn – 46 kilometres that direction from town.
Six weeks ago Factory Fast paid $7.95 million for a warehouse in Smithfield, 30 kilometres west of the city, with plans to relocate from Sydney’s inner south.
Also in Smithfield Charter Hall recently secured office furniture supplier Krost as a tenant for a distribution centre at its Woodpark Logistics Park.
Krost Furniture Group will relocate from Mascot, seven kilometres south of Sydney’s CBD.
Mr Barter said Western Sydney “continues to attract a high calibre of local and international 3PL providers”.
“We are very pleased to assist Hino secure a bespoke facility in one of Sydney’s fastest growing industrial precincts.
“The area is drawing major infrastructure funding from both the private sector as well as government bodies.
“Several key infrastructure projects are either underway or about to start in the area to improve connectivity including the proposed Southern Link Road which will front The Horsley Park Estate and links directly to the M7 motorway.
“The area will also significantly benefit from the state and federal Government’s Western Sydney Infrastructure Plan, encompassing Western Sydney International Airport.”