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$192.7 million investment in new prime logistics facilities

GPT Group has announced they’ve made a $192.7 million purchase to expand their name in the logistics sector.

The property giant has built its logistics portfolio by adding three acquisitions in Melbourne’s West.

GPT has purchased the assets and a 8.9 hectare parcel of land in the Western Melbourne industrial precincts of Derrimut and Truganina.

GPT chief executive Bob Johnston told Brisbane Times that the company has “more than 550,000 square metres of new prime logistics facilities with an estimated end value on completion in excess of $1 billion”.

The developments at Derrimut and Truganina are both fully leased and include over 10,000 sqm of warehouse space for the major tenants.

The third facility is located at the Sunshine Business Estate in Western Melbourne, which was acquired by GTP in early 2018.

Matthew Faddy GPT’s Head of Office & Logistics said the two new assets in Melbourne have the capacity to deliver a 48,000 square metre logistics facility once it’s developed.

“These acquisitions have increased GPT’s exposure to a part of Melbourne which has seen very strong levels of tenant demand and is expected to significantly benefit from major road infrastructure investment,” said Matthew.

“We expect strong demand for quality logistics facilities in Western Melbourne to continue with strong population growth and gentrification of traditional industrial precincts such as Port Melbourne and Fishermans Bend.”

The facility in Derrimut was completed in 2011 and the Truganina facility in 2014.

The acquisition of the 8.9 hectare site in Truganina comes as GPT announced it had fully leased its newly completed 30,100 square metre warehouse facility at 50 Old Wallgrove Road, Eastern Creek in Sydney.

Since mid-2017, GPT has completed six Logistics developments, which have all been fully leased and have added $240 million to the investment portfolio.

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