$46m of industrial, retail sales

Bradken has sold its Bassendean engineering facility to Sydney property group Charter Hall in an off-market sale and leaseback deal worth about $32.8 million, while the Champion Drive Shopping Centre in Seville Grove has been sold for $13.5 million.

Mining services and manufacturing firm Bradken will lease back The seven-hectare site, which comprises 31,000 square metres of covered floor space including office, warehouse, heavy duty workshop and laboratory improvements, and about 28,000sqm of hardstand, from the property group for a 15-year period.

The facility has been used for the manufacturing and refurbishment of products for the mining, rail, resources, processing and construction industries for nearly 60 years.

Commercial real estate agency Colliers International director industrial Raj Singh, who brokered the deal with director industrial special projects Wayne Chorley, said the facility had been the subject of a fiercely contested off-market campaign.

“The location, large landholding and security of a listed tenant on a long-term leaseback made it a very attractive proposition,” Mr Singh said.

“Ultimately, we dealt with 12 interested buyers, with five serious bids battling it out to secure the property.

“Charter Hall has been very active in this market and this property suited their requirements, and they came out on top of a very competitive bidding process.” 

Meanwhile, an undisclosed group of private investors has sold the Champion Drive Shopping Centre to a syndicate managed by Australasian Property Investments for $13.5 million, with the centre to be managed post-settlement by CBRE.

The 4,850sqm centre comprises a Coles Supermarket, Liquorland and 11 other convenience-oriented specialty shops, with scope for further development.

APiL was oversubscribed three times for the acquisition within hours of the offering being put to investors.

Managing director Peter Hughes said the acquisition was on the back of successfully acquiring Carine Glades Shopping Centre last year for $24.5 million.

“Champion Drive represents APiL’s 20^th property investment trust, bringing the total value of property acquisitions to more than $600 million,” Mr Hughes said.

The undisclosed seller bought the property in 2009.