BRICKWORKS and Goodman Group have signed a joint venture to develop a new $1 billion industrial estate in western Sydney.
The 333 gross hectares of land is strategically located between the established industrial precincts of Eastern Creek and
To be known as Oakdale Industrial Estate, the site has the potential to accommodate 1.8 sqm of new industrial facilities with an estimated end value in excess of $1.0 billion.
The land will be acquired on a staged basis by a joint venture trust owned by Brickworks and Goodman Australia Industrial Fund, which will be managed by Goodman.
“Long term ownership of quality industrial property will enable our shareholders to benefit from ongoing development profit, rental income and potential capital returns,” Brickworks’ managing director Lindsay Partridge said.
Goodman’s chief executive of Asia Pacific David van Aanholt said the development of this land is important for the Goodman Group, especially in terms of servicing customers’ warehouse requirements over the next 10 or more years.
Under the joint venture agreement, Goodman is granted exclusive rights to market and develop the site.
The joint venture has secured a development pre-commitment for a new 20,000 sqm facility for DHL with an estimated on completion value of $30.8 million.
The development is subject to Development Application approval.
GMG’s share price closed unchanged at $4.09. Brickwork’s share price closed 16 cents higher at $9.90.
Australian Property Journal
