MacarthurCook has paid $9.25 million for a two level office and warehouse complex in the northern Sydney industrial precinct of Frenchs Forest for the MacarthurCook Industrial Property Trust.
The property is located at 22 Rodborough Road and has a gross building area of approximately 4,207 sqm.
The purchase price of $9.25 million reflects an approximate net yield of 8.57% for the asset.
The property is currently leased to Nusep Limited, a wholly owned subsidiary of the Life Therapeutics Group, for a seven year term.
MacarthurCook’s head of property Chris Calvert said the building is a key addition to the existing assets of the MacarthurCook Industrial Property Trust and is consistent with the trust’s investment criteria to diversify the portfolio for investors.
“This acquisition is positive for the trust’s diversification of income, and geographic spread.
“No single tenant now contributes more than 10% of the trust’s portfolio income and the weighted lease expiry profile will increase to in excess of five years. The geographic diversification is further enhanced, with an improved weighting in New South Wales and a lower exposure to Victoria and Western Australia,” he added.
Calvert said it has been a busy period for the trust, which just recently settled on the Seville Business Park, a multi tenanted industrial complex in Villawood for $22.03 million; a portfolio of three properties located in Queensland and Tasmania leased to the Automotive Components Limited Group with a combined value of $14.06 million and 16 Rodborough Road, a multi tenanted, office and warehouse complex also located in Frenchs Forest.
Following the acquisition, the trust will have 41% of its portfolio in NSW; 23% in Victoria; 14% in Queensland; 16% in Western Australia and 6% in Tasmania.
“With the continued investor support that the Trust has enjoyed to date, we will continue to search the nation’s industrial markets for investment opportunities,” Calvert concluded.
By Kathryn O’Meara
