Geelong’s major roads drive industrial and mixed-use land value
Geelong investors and developers have made big strategic plays for industrial and mixed use land fronting major arterial roads in the city’s east and south.
The properties at Moolap and Charlemont have sold after expressions of interest campaigns drew buyers from Melbourne and Geelong.
But it was local interest that places a higher premium on the sites fronting Portarlington Road at Moolap and Barwon Heads Road on Geelong’s southern outskirts.
Darcy Jarman, Geelong West agent Tim Darcy said a local investor had secured the long-term home of Corio Waste Management at 41-49 Wills Crescent, Moolap.
The 11,441sq m industrial site had sold at the upper end of the $2.5m to $2.75m quoted price range, Darcy said.
CWM has signed a new five-year lease with options to 2040.
“It was a secure investment, it was basically a good land bank with cash flow,” he said.
“With the growth out there and their planned extension of the ring road it will become an even more strategic site.
“Moolap is an older industrial area, but everything probably east of Point Henry Road is quite adaptable and more strategic because of the larger nature.
“We had quite a bit of interest in it. The local parties were prepared to pay the stronger prices because they probably understood it a bit more.”
Meanwhile, a Geelong investment and development group has paid around $1.55 million for a property with a 200m frontage to Barwon Heads Road at Charlemont.
Darcy said the strategic nature of the property would become evident through the precinct structure plan under way for the Marshall portion of the Armstrong Creek Growth Area on Geelong’s south.
“They’ve bought it as a land bank and when the Marshall precinct structure plan gets rolled out they will look to develop that site,” he said.
Offered by the mortgagee, Mr Darcy said sold in the middle of the $1.5 to $1.6m quoted range after receiving six offers, predominantly from Melbourne buyers.
“This will suit a raft of residential and potential mixed uses,” he said.
“It’s very much a strategic play.”
This article from the Geelong Advertiser originally appeared as “Geelong: Major roads to drive value for strategic sites near growth areas”.