Savills News

Local industrial manufacturer consolidates operations

A locally owned and operated manufacturing company servicing the industrial sector has signed a $267,060 lease on a Darra property. 

A locally owned and operated manufacturing company servicing the industrial sector has signed a $267,060 lease on a Darra property.

Ben Donnelly of Savills Industrial and Logistics negotiated the deal to Products for Industry at the 1-3/12 Archimedes Street property.

Products for Industry signed a two year lease, taking up occupancy in three out of the four units at the premises, combining a total 3,327sq m at a rate of $80/sq m.

Associate Director of Industrial and Logistics at Savills, Ben Donnelly, said Products for Industry (PFI) have witnessed a rapid increase in demand for their services over the last few years.

“They are going through a large growth phase at the moment, having purchased two other properties, and also recently purchasing a large business to bolt onto their existing operations,” Mr Donnelly said.

PFI were already residing in units 2 and 3 at 12 Archimedes Street, and had been occupying the units for a number of years, however Mr Donnelly was able to restructure the existing lease to incorporate all three units for a further period of two years.

“Products for Industry have spent a fair amount of money upgrading power (amongst other things within the property), and taking the additional unit made sense to them, so as not to have to do it all again in another property,” Mr Donnelly said.

Mr Donnelly also sold PFI a building in 2018, as they needed space to facilitate the expansion of their growing business, after purchasing another business out of Yatala.

“I have transacted a number of properties, both lease and sale, with Products for Industry over the last decade, and it is wonderful to see a local business go from strength to strength and grow from a 300sq m unit, to well over 6,000sq m under roof,” Mr Donnelly said.

Mr Donnelly said the rental rate of $80/sq m represents good value leasing for both tenant and landlord at 1-3/12 Archimedes Street.

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