Holcim sells landmark site with part leaseback
Kinkora Investments has snapped up the first asset for a $500 million Starwood Capital backed mandate.
The 12.47 hectare holding, 122A Dohertys Road, Laverton North – cost $64.2m.
Swiss listed Holcim was the seller via a part-leaseback.
The world’s largest cement producer will take a long-term ground lease for two hectares.
Kinkora will replace the balance with an Industrial Outdoor Storage asset.
Also today we are reporting the asset manager, until recently known as KM Property Funds, sold a Lynbrook investment after 21 months.
IOS investment coming
IOS refers to hardstand sites typically used for vehicle parking and the storage of containers and equipment.
“IOS is an emerging asset class in Australia and we continue to see strong tenant demand for sites which have linkages to key infrastructure,” Kinkora head of Industrial Investments, Ryan Korda, said (continues below).
“We are excited to acquire such a high-quality asset in a land constrained market,” he added.
“The asset strategy is to create an institutional grade IOS estate via a capex and leasing program,” according to the executive.
Laverton North is about 18 kilometres from Melbourne’s CBD.
“We believe Kinkora Investments is already one of Australia’s leading property investors in institutional quality IOS property,” chief investment officer, Nick Crockett, said.
“This evidences our focus on disciplined capital allocation and active asset management to deliver strong long-term value to investors,” he added.
Colliers’ Gavin Bishop and Sean Thomson represented Holcim.
US based Starwood, co-founded in 1991 by Barry Sternlicht, manages assets worth some $US115 billion.
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