Colliers says a logistics centre directly opposite Port Botany container terminal with development upside is being sold via an EOI ending on June 9, 2022, at 4pm (AEST).
The investment management company notes the 46 McCauley Street, Matraville property is 4205 sqm and its team of Michael Crombie, Trent Gallagher and Angus Urquhart have been appointed to sell it on behalf of a private vendor.
The Colliers team expect the corner block property to sell for approximately $14 million.
“The South Sydney market continues to be one of the best-performing commercial markets in the country over the past two years,” Angus says.
“This is mainly due to major infrastructure upgrades, a lack of developable land and high levels of demand from occupiers looking for central accommodation,” he adds.
Colliers notes the property is one of the last remaining lots of land in the South Sydney region that is more than 4000 sqm. It says it has immediate access to Port Botany and Sydney Airport and is being leased to freight company, Arrow Transport.
“Land opportunities are extremely hard to come by in the South Sydney, and as a result, there has been a significant increase in land values,” Trent says.
“This has led to the rise of multi-level warehousing and is boosted by the demand from occupiers seeking to be close to the CBD, Port Botany and Sydney Airport,” he adds.
“Average land rates are around $3225 per sqm in South Sydney,” Michael says.
“Logistics yields in South Sydney have compressed by almost 250 basis points in the past five years. South Sydney vacancy rates are currently below 1.50 per cent.”
For more information on Colliers, click here.