$20 million plus expected for Keysborough warehouse

A 64,000 square metre Keysborough industrial property looks set to fetch more than $20 million plus as investors seek scarce opportunities in Melbourne’s south-eastern market.

Located two kilometres west of Dandenong CBD, the office and warehouse facility at 68-80 Kirkham Road comprises 32,203 square metres of office, factory and warehouse buildings, including three large 10 metre high factory cells and on-site parking for 130 cars.

According to Savills agents Ben Hegerty, Paul Jones, and Chris Jones, the property will be sold subject to a lease to Venture DMG Pty Ltd, a subsidiary of Venture Global, at a total net income of $1,584,000 per annum.

Jones said the property offered opportunities for owner-occupiers, core-plus, add value investors, and developers.

"The facility also offers huge warehousing and multiple hardstand and truck marshalling areas ideally suited for transport and logistics occupiers," he said.

According to Savills Research, approximately $2.08 billion worth of reported industrial property transactions occurred in the south-east market in the 12 months to September, well over half a billion more than the five year average of $1.44 billion.

The research also revealed a strong south-east leasing market with nearly 500,000 square metres leased over the same period, well up on the five year average of 276,407 square metres.

Expressions of interest close November 24.