Quintessential Equity has sealed its biggest industrial lease deal yet – with Visy, at Port Adelaide Distribution Centre.
The tenant will rent 44,000 square metres within the Gillman complex – at 32 hectares, one of Australia’s most sizeable logistics parks.
With the agreement, the estate is fully occupied – however the landlord is planning to build more product on vacant tracts including a 7400 sqm warehouse presently seeking a pre-commitment.
Quintessential paid Stockland $80m for the asset at 25-91 Bedford Street in September, 2019.
Gillman is 12 kilometres north of Adelaide.
Port Adelaide Distribution Centre lettable area to pass 170,000 sqm
PADC contains 12 freestanding factories with a total 166,696 sqm of lettable area, numerous on-grade loading access points and an internal road network with multiple crossovers.
Since owning it, Quintessential has refurbished incorporating façade cladding, improving the lighting system and sprinklers and landscaping.
Lease deals struck last year include to Aramex – formerly Fastway Couriers – for 4300 sqm.
Scrap metal processor Paramount Browns’ also rented 4064 sqm (story continues below).
This year, as well as new factories, the landlord is also intending to build a café.
“We are looking at enhancing our existing industrial asset holdings to meet the current demand and endurance that this…class affords us,” Quintessential executive chairman, Shane Quinn said.
“The expansion allows us to leverage this land rich site by creating additional warehouse space to a location that is serviced well by amenity and infrastructure networks, and in turn increasing the gross lettable area of the facility”.
CBRE’s David Reid and Leedwell Property’s Steve Smith found Visy and are marketing PADC buildings for pre-lease.
In the Adelaide CBD, Quintessential recently refurbished an office at 431 King William St.
Last month it spent $18.5m on a Rocklea, Brisbane, industrial park for its $300m Master Fund No. 2.
Last February the fund manager and developer collected $14.7m from another warehouse investment, in Melbourne’s south east Noble Park.
Elsewhere in Victoria, in 2019, it won a construction contract for City of Greater Geelong’s next headquarters at 137 Mercer St.
However last month, despite making a shortlist of four, Quintessential was beaten by Capital Alliance to replace 1.9ha of government land in central Dandenong with a mix of commercial and residential real estate estimated, upon completion, to be worth c$600m.