Landmark development site Auburn Redyard sells for $90m
A mammoth development site in western Sydney with a movie theatre, Telstra building and a vacant land parcel has been snapped up in a $90 million deal.
Charter Hall’s leading $7.5 billion logistics fund, CPIF, announced the acquisition from the Reading Property Group.
The site, with over 450m frontage to Parramatta Road, had outstanding potential with 29 per cent being underdeveloped.
It allows time for the incoming purchaser to create their dream site, while also maintaining strong income growth and tenant security.
With parking for 727 cars, the property is located less than 400m from the WestConnex M4 tunnel and just 18km west of the Sydney CBD.
CPIF’s Fund Manager, Richard Mason, said “This acquisition replenishes CPIF’s development inventory and provides the potential to grow our Sydney portfolio.”
“The site represents one of the few opportunities of scale in the tightly held inner west Sydney market, where demand is elevated, vacancy rates are at historical lows and prospects for rental growth are considered strong due to the land constrained nature of the precinct.”
“The property provides an excellent opportunity for CPIF to acquire a high profile, core infill land holding close to the geographic centre of Sydney with easy access to large consumer markets making this site ideally suited for last mile occupiers,” he added.
CPIF has one of the largest industrial and logistics portfolios, underpinned by long-term leases and strong tenant covenants, with a further $780 million committed.
The transaction was brokered by Phil Gartland and Lincoln Blackledge from Stonebridge Property Group.