Industrial sales up 60% in Melbourne's South-East

Industrial sales up 60% in Melbourne's South-East
Industrial sales up 60% in Melbourne's South-East

Melbourne's South East industrial property market is up nearly 60% on the previous 12 months to June, with key sales ranging between $63 million and $20 million.

According to figures released from Savills research, sales to June reached $616 million, up 75% on the five year average.

Savills’ Notting Hill office director, Lynton Williams said data for the research found 80 properties (over $2 million) sold in the 12 months to June, an 86% rise on the 43 properties sold across the South-East market in the previous 12 months and 70% up on the five year average of 47.

"The market had seen investment yields for prime industrial property in the South-East fall 50 to 100 basis points over the last twelve months to a current range of 6.75 to 7.75%," Mr Williams said.

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Industrial sales up 60% in Melbourne's South-East

"Industrial yields are firming however they continue to offer some of the best returns of any asset class to investors while providing owner-occupiers with a premises with the potential to add to the business bottom line."

Savills’ Victorian Head of Research, Glenn Lampard said the 80 properties sold in the south-east comprised more than half of the 144 properties sold across Melbourne.

"The south-east was a significant contributor to the $1422 million in Victorian industrial sales in the year to June which was up from the $1305 million in the previous year and significantly up on the five year average of $950 million,’’ Mr Lampard said.

Key South-East sales included: (all agents deals) 

  • 4 Kingsway Crt, Moorabbin - $22.6 million
  • 13-15 Joel Crt, Moorabbin - $19 million 
  • 215 Browns Rd, Noble Park – $20.8 million
  • 495 Blackburn Rd, Mt Waverley - $63 million
  • Estate One, Danendong South - $39.25 million
  • Kingston Distribution Centre, Braeside - $36.6 million 

 

Tags: 
Melbourne Industrial

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