Land banker multiplies outlay seven times in as many years
A land banker who paid $1.5 million in 2016 for a Badgerys Creek farm has sold it for $10.23m now the precinct is rezoned for industrial and construction of the Western Sydney Airport in the suburb reaches its midway point.
The 5.564 hectare site, 140 Martin Road, was picked up by a developer planning a strata titled logistics focused business park.
About 60 per cent is developable; the balance, backing onto South Creek, must be preserved.
The portion which can be built on can accommodate structures up to 24 metres – a multi-level project.
Settlement took 17 days.
“The purchaser has been looking at getting in the aerotropolis precinct for a while, however, was waiting for the right opportunity,” Ray White Commercial’s Joseph Assaf, who marketed the property with Victor Sheu and Troy Wang, said.
“He saw this street to be a key and pivotal location, providing direct access to the new WSA,” according to the agent.
The deal comes nearly two years since an owner occupier outlaid $5.4m for a 2.26ha industrial site at 100 Martin Rd.
The WSA is scheduled to open in 2026.
An inland city – Bradfield – is also proposed in the area.
WSA construction reaches midway
The proposed Martin Rd development aims to capitalise on forecast continued demand for logistics assets, Mr Assaf said (story continues below).
“Interest in this property was very strong as the airport has now reached the milestone of 50pc completion,” he added.
“The market has been very deep with high demand from developers and land bankers keen to secure sites in such a fundamental location,” according to the executive.
“The first Aerotropolis hotel project has recently been revealed and prominent development groups are actively working on the masterplan for their industrial park.
“Additionally, the government is pushing through infrastructure development in the area.
“Given these factors, it is foreseeable that the business, industrial and employment sectors in the area will continue to expand and flourish”.
The purchase price includes GST.
Institutions circling: agents
The agency’s head of Research, Vanessa Rader, added the limited number of developable industrial lots around Badgerys Creek has been putting upward pressure on land values for a few years.
“The key zones across Western Sydney are some of the most hotly contested amongst institutions, developers and private groups to both landbank or develop in this low vacancy environment, despite the rising cost of finance,” she said.
“Access to road, rail and the new aerotropolis precinct [is a]…drawcard for owners and tenants earmarking this precinct as one of the most active over the next decade,” according to the executive.
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