Trilogy Funds Management has picked up a contemporary office/warehouse at Hexham, north west of Newcastle.
The 2.98 hectare property, 16 Galleghan Street, is setting it back $28.01 million.
Two tenants – Downer EDI Engineering and Lion Dairy Drinks – occupy all of a 15,069 square metre improvement, part of which is configured with cold storage.
Based on the net annual rent ($2,057,059), the deal, with Cerno Real Estate Investors, reflects a 7.34 per cent yield.
Savills’ Michael Wall and Michael Fenton were the agents.
Last week we reported EG, for its Private Wealth division, spent $7.82m on a business park with development upside at Warners Bay, south west of Newcastle (story continues below).
Trilogy on spending spree
The Hexham acquisition comes three weeks since Trilogy outlaid $22.05m – reflecting a 5.8pc return – for a Coolum Beach industrial investment – the largest deal for a Sunshine Coast asset in more than a decade.
In May the manager paid $10.025m – a 5.5pc yield – for a warehouse leased to Tempur in Melbourne’s south east Carrum Downs.
Early last year Trilogy spent $12.5m on a Gold Coast industrial property leased to Mineral Technology Limited – a Downer EDI subsidiary.
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