Midwest Logistics Hub in Truganina in Melbourne’s West has a new tenant who has signed a 10-year term.
Global retailer Uniqlo has secured a 46,000sqm pre-lease to commence in early 2021.
On completion, Midwest Logistics Hub will be a prime logistics estate in Melbourne valued in excess of $500 million.
Development of Midwest Logistics Hub commenced in October 2019, with the first pre-lease to Toll Group for a temperature controlled 44,000sqm facility to service its fulfilment contract with Mars Wrigley Australia, acting as a distribution centre for storage and dispatch to customers.
The technologically advanced warehouse will store all of Mars Wrigley’s products under one roof for the first time in the company’s history, with the capacity to store up to 49,000 pallets or more than 700 million MARS® Bars and use Automated Guide Vehicles to move pallets around the warehouse.
Andrew Simons, Charter Hall’s Head of Development, Industrial & Logistics Wrigleysaid Uniqlo’s pre-lease reinforces the changing nature of retail supply chains with the commitment of Fastline Retailing (the owner of Uniqlo), a global leader in the retail industry, to establish their own facility to manage both their existing national store network and their expanding ecommerce business.
Andrew said the facility will consolidate their operations into one purpose-built facility featuring cross dock operations with a super awning, 14.6 metre warehouse clearance height and container rated hardstand.
50 per cent of the Midwest Logistics Hub estate is now committed.
Richard Mason, CPIF Fund Manager said this can be credited to the estate being in a preferred location for national distribution centres due to its proximity to the port and customers and the area’s large investment in road infrastructure.
All civil and infrastructure works will be completed in June 2020 and the construction of the Toll facility is on track to complete in September 2020.
Each facility at Midwest is targeting a 4 -star Green Star Design and As-Built rating and will incorporate various sustainability initiatives including 100-300kw solar PV systems, LED warehouse lighting and rainwater harvesting.
Richard Stacker, Industrial & Logistics CEO, said modern logistics space in strategic locations across the Eastern Seaboard continues to attract quality tenant covenants for its real estate funds and their investors.
“Charter Hall’s Industrial & Logistics development pipeline now exceeds $2 billion, providing the scale and flexibility to satisfy the growth aspirations of our existing and prospective tenant customers, while also delivering high quality real estate and investment outperformance to our investors,” Richard said.