ISPT sells 274 Victoria Road, Rydalmere for $47.55m
Mirvac has secured a quality industrial asset within the highly sought after Rydalmere/Silverwater industrial precinct in Sydney’s northwest from ISPT for $47.55 million, representing a yield of 6.65 per cent.
Located at 274 Victoria Road, Rydalmere, the 22,734sqm building sits on a 36,540 sqm site and is 100 per cent leased to Thales Australia Limited (TAL) with a weighted average lease expiry (WALE) of 7.2 years.
The property comprises a substantial manufacturing and production facility that was built in the mid 1950's and recently refurbished. Improvements are made up of three main areas being the 4,467sqm office, 8,119sqm production/laboratory and 10,148sqm warehouse.
In addition, there is an enclosed rear awning of approximately 1,051sqm that has not been included in the total Net Lettable Area of the premises. There are approximately 350 parking spaces provided on site
Gavin Bishop and Roger Miller, National Directors of Industrial for Colliers International, negotiated the sale on behalf of ISPT. Mr Bishop said there was a strong level of enquiry for the asset, which was expected given its long WALE, superb location and upside.
“We received over 11 bids from offshore and local investors, which highlights that assets like this continue to be in high demand and we expect more assets to come to the market throughout the year.
“Institutional investors continue to favour the Sydney market with two-thirds of all industrial sales over the past year by value attributable to such purchasers”.
Mr Bishop went on to say that offshore purchasers accounted for 41 per cent of all transactions in NSW by value.
TAL is part of a leading international electronics and systems group serving the defence, aerospace/space, security and transport markets in Australia and throughout the world.