A quality industrial investment leased to Cleanaway in one of Melbourne’s most tightly-held industrial precincts has sold for $4.62 million following a competitive, on-market EOI sales campaign that generated strong investor interest.
The property, Factory 3 at 5–7 Maria Street in Laverton North, was purchased by an interstate investor in a deal negotiated by Knight Frank agents Steve Jones and Andrew Gallucci.
The property comprises a 1,025sq m building on a substantial 6,843sq m site, representing exceptionally low site coverage of approximately 15%, a rare characteristic that provides future flexibility for redevelopment, expansion or reconfiguration, subject to council approval. The asset also features extensive concrete hardstand and a functional dual-warehouse configuration.
It is leased to Cleanaway Operations Pty Ltd, generating a net passing income of $237,853 per annum plus GST and outgoings, providing investors with a secure income profile supported by a long-term lease to an ASX-listed occupier.
Located within Laverton North’s tightly held Industrial 2 Zone (IN2Z), the industrial facility benefits from excellent access to key freight and distribution routes, including Princes Highway (1.2 kilometres) and the Western Freeway (7.6 kilometres), as well as proximity to the Melbourne CBD (approximately 18 km) and Melbourne Airport (approximately 24 km).
Mr Jones said the property generated strong interest during the Expressions of Interest (EOI) campaign, attracting more than 40 enquiries and resulting in six offers by the close of the campaign.
“The sale highlights the continued strength of investor demand for well-located industrial assets with secure income and strong underlying land value in Melbourne’s western industrial market,” he said.
“The low-site coverage and extensive concrete hardstand that this property offered also appealed to buyers, as these properties are rare, particularly in Melbourne’s inner west, and appeal to an increasing number of tenants.
“The result further underscores the resilience of Melbourne’s industrial investment market, with investors continuing to target assets that offer a combination of secure cash flow, functional improvements and long-term redevelopment potential.”
Mr Gallucci said Laverton North continued to attract strong interest due to its strategic location and established industrial amenity.
“Laverton North remains one of Melbourne’s premier industrial precincts, benefiting from direct access to key freight and logistics infrastructure and a long-established industrial occupier base.
“Investors continue to recognise the value of assets that provide both immediate income and future flexibility, particularly in locations where industrial land supply remains constrained.”
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