MADAD offloads ex-PMP Print plant
MADAD Investments has sold a former Alliance Paper plant – now a cleared block – for $17.06 million to an occupier needing hardstand.
The result for 24 Industrial Avenue, Wacol, values the (2.84 hectare) site at $599.58 per square metre, which the agents say resets local land values, in the south western corridor suburb.
The property previously traded in 2012 for $8.3m as an investment backed by PMP Printing .
Six years ago, c8000 sqm was offered for lease in tenancies from 1000 sqm.
Colliers’ Charlier Hooper, who brokered the sale with David Brisk, said a cash unconditional contract was struck with a 60 day settlement.
“Continued demand for land and hardstand has driven record breaking sales and leasing transactions through the western corridor over 2023, with 7.5ha settled in the last two months,” according to the agent.
Occupiers lead deals: agents
Mr Brisk – who also this month sold a warehouse in Fraser’s Vantage business park, on the Gold Coast, for c$4.6m prior to practical completion – said the volume of $10m industrial properties traded in Brisbane the past 12 months is about $800m behind the 10 year average (story continues below).
“That said, the recent cash rate pauses have noticeably changed buyer sentiment with a lot of groups…previously ‘on the sidelines’ now a lot more eager for opportunity,” he added.
“The industrial sector’s strong performance is currently underpinned by the occupier, with rental growth currently at its highest level on record, according to the executive.
“Rental growth has remained elevated over the past quarter, with prime rents jumping 6.2pc to an average $145 per sqm (19.6pc, year on year),” he said.
“Combined with the 7.7pc rental growth recorded in the first quarter of the year, prime rents are up 14.4pc over the first six months of 2023.
“Rental growth was even more pronounced in the secondary market at 11.7pc in Q2, 2023, or $125 per sqm”.
Wacol is about 16 kilometres from Brisbane’s CBD.
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