Toll Properties offloads site in emerging Brisbane industrial suburb of Larapinta for $33.75m
August 5, 2010
Toll Properties has offloaded a site in the emerging Brisbane industrial suburb of Larapinta for $33.75 million.
The property, at 51 Axis Place, is tenanted by Toll IPEC on a 15-year lease.
Jones Lang LaSalle’s Aaron Bates, who together with Matthew Frazer-Ryan negotiated the deal with a private Sydney group, says the sale confirms Larapinta’s emergence as one of Brisbane’s blue-chip industrial precincts.
“This is the first Brisbane industrial transaction above $30 million to hit the 8 percent [yield] mark since the economic downturn, confirming that the flight to safety is resulting in tightening yields for prime assets,” he says.
“The sale of this property was firstly, an outstanding result, and secondly, certainly gave us some very vital inside knowledge about the state of the market.”
Bates says 54 groups enquired about the asset and four made offers.
He adds that many of the interested buyers had never before considered Brisbane industrial property, proving that quality assets – regardless of their city of origin – do attract buyers.
“And 51 Axis Place at Larapinta ticks all key criteria boxes in having direct access to the Logan Motorway and thus the east coast of the county, plus it’s a well developed site,” Bates says.
“Four of the offers we received were at 8 percent yield – an excellent reflection of the value of the property and the levels buyers are circling with.”
Jones Lang LaSalle’s Brisbane industrial team has now managed more than $50 million worth of industrial investment transactions within the Logan Motorway corridor since January this year.