Gateway Capital Expands Industrial Portfolio with $60.75M Berrinba Acquisition

Listed property group Dexus has unloaded about $100m worth of industrial assets, selling properties in Queensland and Victoria.

Boutique fund manager Gateway Capital swooped on an industrial facility in Berrinba, in Logan City, for $60.75m.

The firm’s Gateway Capital Industrial and Logistics Partnership bought the facility at 1-21 McPhee Drive, Berrinba, taking the vehicle to more than $330m.

Sitting in Brisbane’s strong southern industrial precinct, it comprises 26,766sqm of premium space on a 4.89ha site. It is leased to McPhee Distribution Services and Rinnai Australia.

Berrinba sits on the Logan Motorway corridor, which about 21km south of the Brisbane CBD.

It is also well connected to Brisbane’s West, the Port of Brisbane, Brisbane Airport and the CBD.

The acquisition was the fifth asset added to the GILP fund, which was set up earlier year with backing from top institutions and is chasing prime grade assets in premier locations. Colliers agents Gavin Bishop, Sean Thomson, David Brisk and Nick Evans brokered the off-market deal.

“This asset follows the recent acquisition in Geebung for the same fund, providing an increased exposure to the strong Queensland market,” Gateway Capital CEO Stuart Dawes said. “Follow-ing these acquisitions the fund has an attractive portfolio composition with over half the portfolio located in Sydney and almost 40 per cent allocated to Brisbane.”

Dexus had acquired 1-21 McPhee Drive as part of a $186m portfolio that comprised four properties in 2021.

In Melbourne, a Dexus-run fund sold a dual industrial investment opportunity at 2-24 Pound Road West and 384-394 South Gippsland Highway, Dandenong South, to one of the occupiers of the site, Dulux Group, for $40m.

The deal was brokered by Adrian Rowse, Tony Iuliano, Charlie Holmes and Chris Jones of Cushman & Wakefield

The two highway-located industrial assets were fully leased to Dulux and Bowen & Pomeroy, returning $1.68m annually with a 3.4 year weighted average lease ex-piry. The agent estimated rental upside of 53 per cent to more than $2.5m per annum, with uncapped rent reviews.

Ben Wilmot
Commercial Property Editor