Port Melbourne, VIC

INDUSTRIAL & LOGISTICS
Opportunity
  • Land value accounted for ~80% of the purchase price, effectively acquiring the improvements well below replacement costs
  • Large landholding in a defensive location
  • Multi-tenancy profile provided diversity of income
Management Value Add
  • Effective & efficient lease reset of 50% NLA, through a series of complex lease surrender, new lease and renewals, eliminating the 8% vacancy at purchase and significantly extending the WALE from 3.5 to 5.3 years
  • Corrected the flaws in leasing which triggered the exit from the previous
    institutional vendor and brought back the institutional appeal
  • Sold to AMP, returning 1.5x money multiple
  • Delivered 23.3% IRR to investors (relative to target IRR of 12%)