NEW MAJOR PRE-LEASE BOLSTERS EMERGING MELBOURNE INDUSTRIAL PRECINCT

NEW MAJOR PRE-LEASE BOLSTERS EMERGING MELBOURNE INDUSTRIAL PRECINCT

TRANSPORTATION equipment group CIMC Vehicle Australia and road tanker manufacturer Marshall Lethlean are set to take up tenancy in the emerging Cranbourne West industrial precinct, after finalising one of the area's first major pre-lease agreements.

The two companies, which are both subsidiaries of the global CIMIC Group, will combine their south-east Melbourne operations at the five-hectare site under the 12-year pre-lease, with the rental price set in excess of $1 million per year.

The agents who negotiated the agreement, CBRE's David Aiello and James Jorgenson, say this pre-lease is a breakthrough to promote the burgeoning precinct to other large industrial companies.

"To date, most developments in the precinct have involved industrial land subdivisions targeted at small owner occupiers and local developers," says Aiello.

"CIMC and Marshall Lethlean's commitment highlights the area's appeal to larger users who recognize that Western Port Highway is positioned to one day become one of the main industrial arterials in Melbourne's south east, providing direct access to the Port of Hastings."

Chadwick Investments, the private company responsible for development of the property, says CIMIC and Marshall Lethlean's reputation was a major selling point on securing the lease.

"They had a very clear mandate to build a best-in-class facility, which we thought was not only ideally suited to our landholding but something we were excited to develop and own long-term," says Chadwick.

The new Cranbourne West facility, when completed, will include 16 cranes and 25,000sqm of hardstand, providing parking for 200 trucks and 150 cars.

There is also a further two hectares available to accommodate CIMIC and Marshall Lethlean's future growth requirements.

The site is situated just south of Melbourne's established Dandenong South/Lyndhurst industrial precinct.

Business News Australia

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