Stockland plans vast logistics precinct in Melbourne’s west
Listed property company Stockland has signalled it will forge much deeper into the logistics property market and is working on a $2bn industrial precinct in Melbourne’s west.
The company will work with private developer Mt Atkinson Holdings on the Melbourne Business Park, where construction is now getting under way.
The project will become one of the largest logistics precincts in Victoria with about one million square metres of warehouse space, the equivalent of 50 Melbourne Cricket Grounds.
The move is part of a shift away towards industrial property that property companies have made as e-commerce and deliveries replace parts of traditional shopping.
Stockland is working on the first 95-hectare stage of the total 260-hectare logistics precinct located at Truganina in Melbourne’s west.
Stockland general manager, workplace and logistics, Tony D’Addona, said the company had received “strong interest” from businesses which had already set up industrial premises in the area.
He said that 21 businesses and investors had committed to purchase lots, attracted to the precinct’s strategic location in Melbourne’s west and proximity to significant planned future infrastructure.
Japanese tool company Makita will base its primary Victorian distribution and service centres at Melbourne Business Park, anchoring the site with a six-hectare land purchase.
It will be joined at the logistics hub by other businesses associated with the construction and development sector including Ashi Hire, Califam, Pelligra, Winslow and Universal.
Stockland chief executive commercial property, Louise Mason, said that the workplace and logistics sector was driving significant growth for the company’s portfolio.
“Stockland has invested in strategic locations to ensure that there is industrial property available close to large urban populations. This development forms a part of our overall portfolio strategy, a key project in our $5.9 billion development pipeline,” she said.
The area around Melbourne Business Park is flagged for significant freight and logistics infrastructure investment and is close to the planned future Outer Metropolitan Ring Road.