An investment grade industrial property in Kilsyth, about 36 kilometres east of the Melbourne CBD, has sold for 9.5 million to APN Industria REIT.
The 2.3 hectare site at 147-153 Canterbury Road is leased to B&D Australia, a subsidiary of Dulux which is at present the subject of a takeover bid from Japan rival, Nippon.
B&D Australia has a lease at Kilsyth expiring in 2021, with renewal options.
Despite this, the marketing agents promoted the property to land bankers, as well as investors.
The parcel contains 11,882 square metres of buildings, including a 1000 sqm office. It also offers a 1971 sqm loading dock, covered by a canopy, and large open air car park.
B&D Australia is paying rent of $59 per sqm, per annum for the space (which equates to about $701,038 per year).
On those numbers, the Kilsyth asset is trading on a passing yield of 7.4 per cent.
JLL’s David Kelly, Simon Wellock and Adrian Rowse along with KBL Commercial’s Michael Lewin marketed 147-153 Canterbury Road.