Singapore’s Mapletree Logistics Trust is paying $21.25 million for a new Brisbane industrial investment adjacent to Queensland Police Academy.
The 1.9 hectare corner site at 115 Rudd Street, Inala, accommodates a 9050 sqm office/warehouse occupied by Decina Bathroomware as its national headquarters.
The tenant – an international business which makes signature baths – moved into the premises in May on a 10 year lease agreement with annual rent rises.
After outgrowing its previous facility, it took five years for the group to procure a replacement Queensland property, according to the marketing agents, Paul Burns of Melbourne agency, Fitzroys, and Justin Clarke of McGees Property Brisbane.
The vendor, a private developer, paid $3.4m for 115 Rudd Street – then a family home – last year.
Mapletree will fund the acquisition with debt – its aggregate leverage ratio to rise 0.1 per cent (to 39.4pc) following settlement.
Elsewhere in the city, two years ago, it paid $102m for Coles’ distribution centre at Heathwood, about seven kilometres south of Inala.
“Brisbane is a growing logistics market supported by positive long-term economic fundamentals and resilient domestic consumption,” the purchaser said in a statement.
“Despite the short-term headwinds due to the COVID-19 situation, domestic consumption is expected to remain resilient underpinned by structural demand drivers which include population growth and an increasing proportion of working age population”.
Several major infrastructure initiatives which could expand the city’s logistics capabilities include a second runway at Brisbane Airport (40 kilometres away) and improvements at Brisbane Port (35km).
An inland freight connecting the city to Melbourne was yesterday confirmed as a project the federal government intends to co-fund (story continues below).
Mapletree also owns an office in the city, 144 Montague Road, South Brisbane.
Decina Bathroomware’s national headquarters at Inala
Completed in May, the single storey Rudd Street complex will be used to manufacture baths and showers.
It includes a minimum 10 metre clearance height, 30kPa floor loading capacity and is column free.
“The property is built with seven container height roller doors protected by an 8m deep awning, and more than 100m of sideloading dock ideal for trailer trucks,” the brokers said.
It also has an ESFR (Early Suppression, Fast Response) sprinkler system.
“The property presented a rare brand-new, high-quality facility, well-located to major transport routes and with a long lease to a quality tenant that offered a reliable long-term income source,” Mr Burns said.
The agents added Australia is considered a safe-haven by international investors.
No yield for this deal was disclosed.
Decina also trades in Asia, Europe and the Middle East.