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A Morningside freehold warehouse located in the southern TradeCoast has been picked up by an owner occupier for $3,500,000.
Savills Industrial agent Shaw Harrison was initially appointed to lease the property located at 345 Thynne Road as the previous owner occupiers had decided it was surplus to their needs.
“Market activity at the moment is particularly thick with buyer interest and whilst we were initially promoting the property for lease, we received multiple offers to purchase the property at the same time,” Mr Harrison said.
Property records indicate the property last sold for $2,530,000 in 2014 representing a 40% growth on the recent sale.
Mr Harrison said that the buyer who was in the warehousing & logistics industry was spilling over in their existing warehouse around the corner.
“We actually had five other registered buyers that were disappointed when they missed out, as it wasn’t on the market long,” he said.
While the immediate area is set to transform with proposed future mixed use developments of the old Forgacs Facility and Bulimba Army Barracks the fundamentals of the property were still highly sought after.
“I think users were attracted to the low site cover and usually properties with cranes or heavy rated power are popular because they are hard to find, Mr Harrison said.
The 4,991sq m site includes a corporate freestanding building of 1,810sq m which includes a renovated office over two levels and a warehouse fitted with a 5 tonne gantry crane and 12 metre wide sliding doors.
“Engineering & Logistics companies generally search hard for premises such as this as they are looking for buildings that can do the heavy lifting and high power supply as retrofitting is often expensive.
In a flurry of industrial deals settling from the start of the year, this is the fifth sale concluded to owner occupiers and with all properties having received multiple offers.
“We are still witnessing an enormous amount of cash in the market and conditions for owner occupiers are at an all-time high, but with the limited stock at present, exceptional capital growth for sellers is becoming more easily achievable.
Buyers have to be ready to commit quickly as the depth of capital in the market is the strongest we’ve seen in a while and good property just isn’t staying around long,” Mr Harrison said.