Harmony Property Investments (HPI) has bought a portfolio of three industrial properties in Brisbane’s north from BFJ Property for $23.95 million, reflecting a 5.21% yield.
The assets were located in Banyo, Brendale and Narangba and comprised a total floor area of 8,838 sqm.
The Banyo property, located a Lot 3/459 Tufnell Road, offered 1,764 sqm of industrial space and was fully let to Hair Jamm for at least five years from July 2020.
The Brendale asset, located at 18 Cutler Court, comprised 4,382 sqm of space on a 13,400 sqm site.
The Brendale property was leased to George Weston Foods, Krannich Solar and Bell Total Logistics, with initial lease terms ranging from 3.5 years to 5.5 years.
The Narangba asset, located at 2-6 Business Drive, featured 2,692 sqm of office warehouse accommodation on a 6,659 sqm site and was leased to Amart Furniture for at least 10 years from September 2015.
The portfolio weighted average lease expiry (WALE) was 3.2 years from settlement.
HPI, which is a subsidiary of MRS Property, acquired the properties on behalf of its new Harmony SEQ Industrial fund.
“The Harmony SEQ Industrial fund provides our investors with three modern industrial properties in sought after industrial locations, with the income underpinned by five tenants,” said Cain Gurney, Acquisition Manager at MRS Property.
The portfolio deal grew HPI’s total funds under management to more than $700 million.
Jack Pershouse and Daniel Munnich of CBRE and Sam Higgins of Argus Corporation brokered the deal.
The Queensland industrial property market continues to attract strong investor interest after Clarence Property recently bought an industrial land estate in outer Brisbane for $30 million.
Last December, Gateway Capital purchased an industrial site in the Brisbane suburb of Acacia Ridge for $28 million, while SC Capital Partners bought an 8,600 sqm industrial asset on the Gold Coast for $23.2 million.
Outside of Queensland, Sector Property Group acquired a 6.19-hectare land parcel in Melbourne’s western suburb of Altona for $24.5 million this week, while Ascot Capital purchased a distribution centre near Albury–Wodonga in Victoria for $10.6 million.
Earlier this month, a Charter Hall fund bought an SPC industrial property in Shepparton, Victoria for $66 million, while Logos, KKR and Mubadala Investment bought industrial development sites in Sydney and Melbourne worth a combined end value of $640 million.
In January, Centuria Industrial REIT acquired a portfolio of six urban industrial assets located across Melbourne, Sydney and Brisbane worth a combined end-value of $132.4 million, following its purchase of four industrial properties across Sydney, Melbourne and Brisbane for $129.4 million last November.
Earlier this month, Colliers Managing Director for Industrial Gavin Bishop said there was an estimated $50 billion worth of capital seeking investments in Australia’s industrial property market.
