Leda Holdings finalises second on-sale from the Sydney Six portfolio

Bob Ell’s Leda Holdings has sold a second property from the ‘Sydney Six’ portfolio for a strong price of $18,125,000.

An overseas owner occupier/investor secured the Wetherill Park warehouse at 488-490 Victoria Street, in a deal negotiated by CBRE’s Elijah Shakir and Jason Edge.

Leda Holdings acquired the ‘Sydney Six’ portfolio in May last year, delivering the group control of four Wetherill Park assets, a Smithfield property and an Eastern Creek site.

The 488-490 Victoria Street transaction follows Leda’s $24.8m on-sale in November of the neighbouring 484 Victoria Street industrial facility to a private investor, also through CBRE.

Leda Holdings Managing Director Robert Ell said the recent sale was in line with the company’s trading strategy.

“Our trading strategy is a different proposition to traditional groups seeking long WALE assets,” Mr Ell said.

“The Sydney Six portfolio acquisition provided the opportunity for us to take on vacancy risk and trade on lease expiry, which has proved a success in a market that requires some forward thinking.”

The vacant, 488-490 Victoria Street property was sold at a strong rate of $2,060 per square metre of building area.

CBRE’s Mr Shakir noted that the international Expressions of Interest campaign had generated significant interest from offshore investors and occupiers, underpinned by the property’s strong western Sydney metropolitan location.

“An international pharmaceutical group has acquired the property for partial occupation and will lease the remaining vacant space,” Mr Shakir said.

“The sale result demonstrates the ongoing owner occupier demand for high quality, existing buildings in key locations.”

The 8,795sqm Victoria Road building occupies a site area of 20,860sqm and includes a 9% office component. It is surrounded by modern distribution facilities and high profile occupiers such as Cummins, Martin Brower, Yamaha, Steinhoff, Nick Scali and Pro Pac Group.

Mr Shakir said the property was suited for showroom usage and offered access directly onto The Horsley Drive and the M7 Motorway on/off ramps – providing connections to both the M4 and M5 junctions.