Scarcity of quality industrial assets and strong local interest fuel competitive sale in Melbourne’s tightly held south-east market.
A high-quality industrial warehouse at 126–128 Browns Road, Noble Park North, has sold for $6.3 million to a local owner-occupier, reflecting the continued strength of Melbourne’s south-eastern industrial market and the growing appetite for well-located, functional warehouse space.
The property comprises a total gross lettable area of 2,758sqm, including a dual-level office of 532sqm and a clearspan warehouse of 2,226sqm. Constructed from brick, dado steel and concrete, the facility features two automated roller doors, a recessed loading dock, refurbished office space and generous internal clearance suitable for high-bay racking. Positioned at the rear of the site with dual street crossovers, the warehouse offers excellent access for both light and heavy vehicles.
“The private sale campaign attracted strong interest from local industrial occupiers seeking to purchase rather than lease,” said Sam Hibbins, Associate Director at Colliers.
“The vendor had originally intended to hold the asset long-term, but after refurbishing the property and ending the existing lease, they were able to capitalise on strong owner-occupier demand. In today’s market, owner-occupiers are often willing to pay 15–20% more than investors, which made this an ideal time to divest,” Mr Hibbins added.
The buyer, a local business experiencing rapid growth, acquired the property to accommodate its expanding operations. The sale highlights the scarcity of quality industrial assets in Noble Park — a tightly held and land-constrained precinct with only 51 office/warehouses in the 2,000–5,000sqm range and very low vacancy rates.
Luke Lowden, Associate Director at Colliers, noted, “Vacancy across Melbourne’s South East industrial market currently sits at just 0.9%. This part of Melbourne has become increasingly land-constrained, with limited opportunities for new development. That imbalance between supply and demand has driven average annual rental growth of 16.5% since 2021, and we expect that trend to continue in the medium term.”
Strategically located just 1.8km from the Monash Freeway and 1.5km from EastLink, the property benefits from excellent connectivity and proximity to key amenities, including Waverley Gardens Shopping Centre and Springvale Homemaker Centre. Surrounded by residential catchments, Noble Park is a true last-mile logistics hub, offering businesses access to a skilled local workforce and strong transport links.
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