Stockland has solved a vacancy headache in Melbourne’s south-east.
The Sydney-based institution has signed online retailer and wholesaler Sello Products to a new lease for an 8,305 square metre warehouse at 2/1090-1124 Centre Road, Oakleigh South, about 17 kilometres from the city centre.
Stockland developed this industrial investment on a speculative basis only a couple of years ago.
Premium furniture retailer Matt Blatt was the first occupier, signing a five year lease in 2017.
However, after deciding to move its distribution facilities to Sydney, Matt Blatt vacated. Earlier this year it employed agents to try and assign its rental agreement.
In the end, however, Stockland surrendered its Matt Blatt lease and struck a new deal with Sello Products, for an initial seven year term.
Sello Products is paying a gross face rent of $104 per square metre, per annum.
“This significant leasing deal further reinforces the rapid growth of the e-commerce industry in absorbing prime industrial facilities within the South-eastern market,” Mr Mercuri said.