ESR Sell Mulgrave Industrial Asset to Singapore’s Straits Trading Co8 December 2019
Singapore's Straits Trading company has acquired an industrial asset in Mulgrave VIC from ESR for $24m.
The property at 677 Springvale Road in Mulgrave comprises 7 seperate buildings on a 2.25 hectares parcel of land. The total NLA of the buildings is 12,157sqm.
The building currently generate $1,286,148 per annum with a fully leased net income of approx $1,730,000 per annum. The passing yield is therefore 5.3% and the fully let yield is 7.2%.
The tenants include HRL Limited (35% by income), Optus, B.Box and ADB Safegate and provide a WALE of 3.1 years.
CBRE and Knight Frank acted for ESR on the transaction.
The acquisition follows last weeks purchase by Centuria of 13 Compark Curcuit in Mulgrave for $27.8m on a 6.3% yield whilst in August, Fife Capital acquired 649 Spingvale Rd for $26M.