Centuria Industrial Buy up in Bella Vista

23 February 2021

The listed Centuria Industrial REIT has acquired a high quality modern warehouse, located in the infill industrial market of Bella Vista in North Western Sydney for $26.25 million.

The off-market acquisition was secured on a short 0.5-year Weighted Average Lease Expiry (WALE), providing a value-add opportunity to reposition the asset. The property, located at 8 Lexington Drive, Bella Vista, provides a 7,678sqm warehouse and 591sqm modern office, with less than 50% site coverage.

The property forms part of an old Bunnings tenancy which has been modified to provide for high clearance warehouse space with internal clearance up to 13.2 metres, flexible high quality corporate office space and secure hardstand with dedicated truck entry and all weather loading/unloading via four (4) roller shutter doors.

Jesse Curtis, CIP Fund Manager, said, “This acquisition increases CIP’s exposure in the tightly held Sydney industrial market. Using our in-house capabilities, CIP has a strong track record in delivering value-add opportunities and this latest asset adds to our existing pipeline. Being a high-profile location, in a true infill area, the asset will appeal to a broad range of potential users.”

The asset provides excellent connectivity to the M2 and M7 motorways, enabling access to 1.2 million households within a 60-minute drive and 358,000 households within a 30-minute drive. It increases CIP’s NSW portfolio weighting to 25%.

The Bella Vista transaction takes CIP’s acquisitions throughout FY21 to 12 assets, worth $757.2 million. The acquisition will be funded with existing debt and settlement is expected in March 2021.

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