Beaumont Tiles, Coco Republic help fill Dexus flagship estate
Commercial property heavyweight Dexus has completed its flagship Quarry industrial estate in Greystanes in Sydney’s west after securing retailers Beaumont Tiles and Coco Republic and packaging group Orora as the final tenants.
The 70-hectare former stone quarry, which Dexus has been developing with its joint venture partners for over a decade, is now fully leased amid the strongest conditions seen in the Sydney industrial leasing market since the GFC.
Quarry, Greystanes comprises 310,000 square metres of warehouse space and 30,000 square metres of office space. Major tenants include Bunnings, Toshiba, HelloFresh and Symbion.
The three new tenants have leased the last completed building in the estate at 2-6 Dolerite Way, which comprises 33,710 square metres of lettable area.
The $34 million facility was completed in March and has a weighted average lease expiry of almost 10 years, according to Dexus’ December 2018 property portfolio update.
Rents paid by the three tenants were not disclosed. Prime industrial net rents in Sydney’s west ranged between $112 and $135 per square metre in the March 2019 quarter, according to agents Savills.
“Quarry has established a key economic hub for Western Sydney, attracting a diverse community of high calibre customers across a range of sectors, and providing employment for around 3,000 people,” said Dexus head of industrial development Chris Mackenzie.
Dexus and its funds partners acquired the former 120-year-old Prospect Quarry in two tranches in 2007 and 2014.
The second of these acquisitions – a 26.5-hectare portion of the quarry bought for $50.5 million from Boral – was a joint investment by Dexus and the Future Fund as the seed asset for a new $1 billion property portfolio.
In December, the Future Fund sold its 50 per cent stake in the Dexus Industrial Trust to UK fund manager M&G Real Estate for an undisclosed sum.
Coco Republic chief executive Nicholas Foster said: “We are thrilled to have found a new home for our national logistics hub at The Quarry.
“The purpose-built, sustainable facility will be key to enabling our exciting domestic and international growth strategy over the coming years.”
Sustainability initiatives at Quarry, Greystanes include rooftop PV solar panels, harvested rainwater from rooftops and intelligent LED lighting and motion sensors.
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