Tasman Logistics Services has rented an industrial property on land forming almost a fifth of the proposed $2 billion Yarraville Gardens “mini-city”, in Melbourne’s west.
The occupier has committed to 361-367 Francis Street, Yarraville, for an initial three years, paying starting annual rent of $900,000.
With an 11,300 square metre warehouse the 4.62 hectare facility is close to another it trades from – and will retain.
CBRE leasing agents Harry Kalaitzis, Ricardo Cappelletti, Tom Hayes, Todd Grima and Tom Murphy said the transport and logistics business saw “major efficiencies” in renting something close to its main depot.
“The [new] site…includes a vast range of benefits to the occupier including expansive hardstand areas for containing laydown and trailer parking,” the agents added.
At the westernmost edge of the suburb, also the Brooklyn border, 361-367 Francis St is about eight kilometres from the city.
The Tasman deal is the second recently involving an industrial occupier renting within close proximity of a bigger base: two weeks ago we reported Manheim Auctions committed to a Moorebank, Sydney, facility, opposite one it is outgrowing.
Yarraville site earmarked for $2b redevelopment
Tasman’s Yarraville property forms part of a 24.3 hectare site earmarked to make way for a master-planned mixed-use village with an end value of about $2b (story continues below).
The highest profile portion of the land is the 1950s Bradmill textiles factory (pictured, right) which abuts the West Gate Freeway.
Known in agency circles as Yarraville Gardens, the holding has been is controlled by China’s Chang Sheng – with which Chinese media personality Tommy Jiang holding a small stake – paid $172m in 2016.
The vendor, Colin De Lutis’ DeLutis Group, spent $10m on the Bradmill factory (and now defunct) business, in 2002. It later outlaid $16m on two neighbouring industrial investments, including the one Tasman has just rented.
The entire holding was rezoned to allow for residential development in 2011 before being listed for public sale five years later (image from that campaign, top).
It was reported two years ago that a new master-plan was being formulated factoring in a tunnel which will pass through the suburb, part of the Western Distributor project.
However it was expected that Chang Sheng would have started building on some of the block by now; in March, 2017, City of Maribyrnong extended a development permit for construction by two years.
Yarraville Gardens is mooted to eventually accommodate about 1500 dwellings within a mix of townhouses and apartments – some in high-rise buildings which will capture city skyline and Port Phillip Bay views.
A neighbourhood shopping centre able to be anchored by two supermarkets is planned, too, as is a library, medical complex, petrol station and restaurant precinct.