GPT grows logistics portfolio with three acquisitions in Melbourne

The GPT Group has announced it had acquired two prime logistics assets and a 8.9 hectare parcel of land in the Western Melbourne industrial precincts of Derrimut and Truganina.

The assets, which are both fully leased, include a 10,700 square metre warehouse facility on Mount Derrimut Road and a nearby 11,000 square metre facility on Boundary Road Truganina.

Both properties are closely located to the Western Ring Road and have easy access to the Port of Melbourne and CBD.

Combined with the Sunshine Business Estate in Western Melbourne, acquired by GPT in early 2018, the facilities have a combined weighted average lease expiry (WALE) of 7.7 years.

GPT’s Head of Office & Logistics Matthew Faddy said the Group was pleased to have secured another two quality assets in Melbourne and a site which has the capacity to deliver a 48,000 square metre logistics facility once developed.

“These acquisitions have increased GPT’s exposure to a part of Melbourne which has seen very strong levels of tenant demand and is expected to significantly benefit from major road infrastructure investment,” Matthew said.

“We expect strong demand for quality logistics facilities in Western Melbourne to continue with strong population growth and gentrification of traditional industrial precincts such as Port Melbourne and Fishermans Bend.”

The facility in Derrimut was completed in 2011 and the Truganina facility in 2014.

The acquisition of the 8.9 hectare site in Truganina comes as GPT announced it had fully leased its newly completed 30,100 square metre warehouse facility at 50 Old Wallgrove Road, Eastern Creek in Sydney.

Since mid-2017, GPT has completed six Logistics developments, which have all been fully leased and have added $240 million to the investment portfolio.