Two adjoining industrial facilities in Hobart sell in one line following strong sale campaign

Two side-by-side industrial properties in Hobart have been snapped up a local investor following strong enquiry during the sales campaign.

The facilities at 9 and 9A Lampton Avenue in Derwent Park, seven kilometres from the Hobart CBD, were sold for $2.9 million.

The deal was negotiated by Knight Frank agents Tom Balcombe and Matthew Wallace on behalf of the syndicate owners following an Expressions of Interest campaign.

The two industrial properties have a total lettable area of 1,091sq m across two main buildings, one on each title, with the substantial building at the rear of the site, which totals 4,269sq m.

9 Lampton Avenue is a single-storey industrial building with reception and office totalling 178sq m on a 1,881sq m block, which is leased by All Tasmanian Towing until March 2026.

9A Lampton Avenue is an industrial facility with two levels of office and amenity totalling 935sq m on a 2,388sq m block leased by Burke’s Mechanical Repairs until January 2026.

The two properties combined have a net income of $167,648 per annum exclusive of GST.

Mr. Balcombe said the sales campaign in which the properties were offered to the market in one line or individually, attracted around 50 enquiries, consisting of mainly local investors, as well as some buying groups from the mainland.

“There were several aspects about the industrial offering that attracted investors,” he said.

“Buyers liked that the properties were on two titles, with each property having a relatively short-term lease in place, allowing for owner occupancy opportunity or possibly rental upside.

“The facilities also have low site density, with only 23 per cent site coverage, allowing for blank canvas development potential and future upside.”

The ‘General Industrial’ zoning of the facilities also has flexibility, with various uses permitted such as equipment and machinery sales and hire, manufacturing and processing, storage, transport, service industry, and utilities either ‘Permitted’ or ‘Discretionary’ under the planning scheme.

Mr. Wallace added that local investors in particular understood the attractiveness of the location.

“Lampton Avenue is one Hobart’s better industrial streets, and Derwent Park is one of Tasmania’s most sought-after industrial precincts,” he said.

“The properties have easy access to the main arterial roadways, being situated just off Main Road and 800 metres from the Brooker Highway, providing excellent convenience to retail, industrial and commercial centres.”