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Colliers has been exclusively appointed to sell an 8.20 hectare Infill Industrial Land Holding within Melbourne’s North

Press Release Photo  Coolaroo

2-50 Glenelg Street, Coolaroo will be exclusively brought to market by Colliers’ Gavin Bishop, Sean Thomson, Damian Marinelli and Nick O’Brien on behalf of ASX listed global corporate Palla Pharma.

Covering a substantial 8.20 hectares with versatile existing improvements, 2-50 Glenelg Street presents the unique opportunity to acquire large industrial land holding within a growth market of Melbourne’s north. The site has a price expectation of more than $45 million.

The offering will be underpinned by a secure leaseback to ASX listed Palla Pharma, whilst providing the additional benefit of a multitude of redevelopment and repositioning characteristics upon the 82,000m² freehold land holding. The existing improvements have useable life beyond the existing occupancy and are strategically located with excellent access to major arterial roads such as the Hume Highway and Metropolitan Ring Road, together with major infrastructure such as the Melbourne International Airport and the Melbourne CBD, ensuring all local, national, and international markets are within reach.

Gavin Bishop, Head of Industrial Capital Markets at Colliers, maintained “opportunities to acquire on such significant scale with genuine flexibility rarely become available within Melbourne’s tightly held northern market. Coolaroo is a land constrained market within proximity to large residential catchments, earmarked for strong rental / capital growth prospects in the future, further set to benefit from the rapid growth of e-commerce.”


“The Australian industrial and logistics sector has been the best performing commercial property sector over the past 12 months as strong fundamentals support elevated demand levels within both the occupier and investment markets,” said Mr Bishop.

Sean Thomson, Director, Industrial Capital Markets, Australia at Colliers advised “the Melbourne industrial and logistics market has recorded strong growth over the past five years, supported by high levels of population growth, record levels of infrastructure investment, and strong levels of consumer consumption which has prompted large growth in e-commerce platforms”.

“Led by a significant weight of capital from both domestic and offshore groups, industrial yield compression across Melbourne has averaged 115 basis points over the past 12 months within the prime market. Yields currently average 4.30% for prime warehouse space (range of 3.75% to 5.00%) while secondary is higher at 5.15% (range of 4.25% to 5.75%) and depends on the location, strength of covenant and WALE.”

From an investment perspective, strong fundamentals continue to drive significant capital flows into the Victorian industrial and logistics sector and yields have compressed substantially off the back of this capital.

2-50 Glenelg Street, Coolaroo is being offered for sale via Expressions of Interest closing 4:00pm (AEST) Friday, 3rd September 2021.

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Gavin Bishop

Managing Director | Industrial


Gavin is the Managing Director of Industrial & Head of Industrial Capital Markets Australia at Colliers, where he has been specialising in industrial property for 21+ years. Based in the Sydney CBD Head Office, Gavin manages a highly successful team of over 120 staff across every state & territory nationally in key industrial and logistics precincts.

Gavin specialises in the national industrial capital markets and has excellent relationships across a broad spectrum of institutional, international and private investors. Over Gavin’s time with Colliers, he has completed hundreds of deals in industrial property, settling over $14 billion in his career to date, and leasing over 400,000sqm. Gavin enjoys a 75% market share of industrial capital markets share in NSW.

Gavin has worked extensively in the sale of industrial portfolios of up to 30 assets in one portfolio. Gavin and his team have sold 24/34 of all industrial portfolios in Australia over the last five years, including the AMP Portfolio ($105m), J.P. Morgan Portfolio ($250m), Altis Portfolio ($342.5m), Qantas Portfolio ($802m) and GIC/Australand Portfolio ($1.073b).

Some major distribution centre sales that Gavin and his team have been involved in over the last two years include, the Calibre, Eastern Creek ($130.1 million), 1 Eucalyptus Place, Eastern Creek ($90.5 million), 3 Roberts Road, Eastern Creek ($253 millions) and 6-20 Clunies Ross Street, Greystanes ($76.6 million)

Gavin has focused on building deep relationships with his clients, providing the latest in-depth information about logistics markets across Australia, which in line with his extensive track record, has seen Gavin achieve record-breaking results for his clients.

Gavin is a long-standing member of the Colliers team, having joined in 2000 as a graduate valuer. Gavin commenced with Colliers as part of their Scholarship Program and he was fortunate to work across multiple service lines and locations across Sydney, before settling in the Industrial team in Sydney South in 2001. Over the last 20 years, Gavin has progressed through the industrial business including managing the Sydney South and Sydney South West offices, before moving into the NSW State Product Director for Industrial in 2010.

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