A highly sought-after industrial site in Western Sydney has been purchased as the demand for prime development sites continues to greatly outweigh the city’s supply.
The 5.25-hectare property, at 201-203 Power Street, Glendenning, attracted significant interest from investors and developers looking to capitalise on its desirable location.
The sale of the site was negotiated by CBRE’s Jason Edge and John Micallef on behalf of the vendor Valspar Corporation Pty Ltd after a fiercely competitive expressions-of-interest campaign.
“We received substantial interest from institutional and private developers during the process, which is reflective of the shortage of serviced industrial land available in Western Sydney,” says Mr Micallef.
“The size of the site and its core location in Sydney’s land constrained Glendenning industrial and logistics precinct were key drivers of buyer interest, with the property offering high exposure to the M7 motorway and significant development potential,” he says.
The property is one of the last remaining infill industrial sites in Western Sydney and features 185 metres of street frontage and a laboratory building of 2,000sqm whilst also boasting proximity to several major road networks including the M7 Westlink Motorway.
The sale follows the growing trend of investors looking to purchase well-positioned industrial sites as companies reassess their portfolios, as Mr Edge explains.
Industrial demand throughout Sydney remains very strong as companies continue to refine their supply chainsJason Edge – CBRE
“This has led to significant interest in available sites in core markets as developers look to unlock value in a tight market.
“In tandem, values have grown 4.5 per cent year on year, with the majority of the growth occurring in western Sydney,” Mr Edge explains.
Assets like the Glendenning site are hot property in 2020, with only 153,000sqm of new industrial stock being added in the first quarter of the year compared with 647,000sqm in Q1 of 2019.