A private investor has purchased a 3,571sq m industrial manufacturing facility in Tingalpa QLD for $7,000,000.
Located at 36 Proprietary Street, Tingalpa, the property is currently occupied by Polyfoam who manufacture polystyrene foam packaging. They have had a long 13 year lease in place with approximately 4 years remaining. They had relocated to larger premises a year ago in Darra and were trying to sub lease the property, but they chose to return to the property with demand within their business rapidly on the increase.
The deal was negotiated off market by Shaw Harrison, Savills Industrial & Logistics, who said the investor bought the property because it gave them an opportunity to acquire an investment in a tight market with future refurbishment opportunities.
“Savills provided a solution for the tenant to come back into the property at a slight discount to the previous rent which achieved an initial passing yield of 8.17%.”