L’Oréal commits to second Australian distribution centre

L’Oréal’s Redbank distribution centre will contain 14,544 square metres.

With its only Australian distribution centre, in Melbourne, nearing capacity, L’Oréal Groupe has pre-committed to a second, in Brisbane.

The Redbank Motorway Estate covers 130 hectares.

The Paris based cosmetics giant has signed up at Goodman’s Redbank Motorway Estate, 25 kilometres south west of the CBD, for an initial seven years.

Set to contain 14,544 square metres, the end value has been put at c$40 million.

Chep recently pre-committed to a Redbank Motorway Estate warehouse.

Industrial occupier advisory TMX Global – which found L’Oréal the Redbank site – will now manage the construction and fit-out.

The deal comes five months since Goodman secured Brambles subsidiary Chep to an 8163 sqm office/warehouse at the 130 hectare business park.

Like the L’Oréal property, that asset is set to be carbon neutral.

Redbank Motorway Estate also counts Australia Post, Bapcor, Coles, DB Schenker and Fedex as tenants.

L’Oréal heads north

L’Oréal moved to its Melbourne distribution centre – on 5.82ha on Imagine Way, Dandenong South – about 10 years ago after in 2006 consolidating from five locations to another warehouse in the suburb, on Pound Rd, nowadays occupied by Reece Plumbing.

Its Australian office headquarters is also in the Victorian capital, on St Kilda Road (story continues below).

Goodman this month secured Provincial Home Living to a Truganina warehouse.

“The establishment of our new distribution centre in Brisbane represents a significant milestone in our growth strategy,” L’Oréal ANZ chief executive officer, Rodrigo Pizarro, said.

“This expansion will enable us to better serve our customers by reducing delivery times and ensuring products are readily available when and where they are needed,” according to the executive.

“The warehouse will feature an optimised internal layout and sizing to streamline future business and operations, delivering a strong outcome for its 30 beauty brands in a highly competitive industrial market,” he added.

L’Oréal director, Strategy and Projects, Con Vasilopoulos, said the Brisbane building will allow it to streamline operations for a growing client base.

“We identified that we are nearing capacity at our existing distribution centre, and saw an opportunity to support our operations through a second national facility,” he added.

Goodman also rents L’Oréal a Hong Kong distribution centre.

The Redbank agreement comes a week since the industrial landlord pre-committed the Pausewang family’s Provincial Home Living to a recently launched business park at Truganina, in Melbourne’s west.

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Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of realestatesource.com.au.