Demand for Industrial Land Holds Firm in the West

LJ Hooker Commercial Perth has managed several campaigns for the Western Australian Government over the last five years: everything from eco-tourism assets in the Pilbara to the sale of the carpark opposite Princess Margaret Hospital to Woolworths. 

Currently, the agency is managing the sales campaign for two DevelopmentWA industrial estates: Crossroads Industrial at Forrestdale and Meridian Park at Neerabup. The estates are currently DevelopmentWA's only available serviced industrial estates in the city's north 
(Meridian Park) and south-east (crossroads). 

LJ Hooker Commercial Perth's Director of Industrial, Calm McHugh, said three stages in Meridian Park had sold out in the last 12 months. Following the successful sell-out, the next stage - Stage 6B - has been brought forward, offering 22 lots ranging from 2,340sqm to l.03ha. The median square metre rate across the lots is $215. 

Mr McHugh said Meridian Park - which also houses the recently launched Australian Automotive and Robotics Precinct (AARP) - was attracting a wide spectrum of purchasers. 

"There's been steady enquiry (for Stage 6B), with five contracts already taken," said Mr McHugh. 

"If you're looking for a development-ready site in Perth's northern corridor, Meridian Park is the leading industrial development offering the full spectrum of serviced small, medium and large-sized lots and is the first choice for buyers." 

At Crossroads Industrial, in the south-eastern corridor, Mr McHugh said the estate's exceptional connectivity via Tonkin Highway, Ranford Road and Armadale Road meant the estate appealed to a wide range of businesses. 

"Being so well located, and with flourishing new suburbs popping-up, we've seen a wide array of business types set up; from Hitachi, Western Power and 7-eleven to eKitchens, mechanics and a range of gyms." 

Within the last 12 months, three new stages of Crossroads Industrial, totalling 23 lots, have been released, with the majority of those lots now being sold. There are four lots remaining for sale. Stage 4 will be released once the remaining lots are sold out. 

While the two industrial estates are an hour's drive apart, Mr McHugh said there was healthy enquiry for both estates, which was indicative of the strong market demand for industrial land throughout Perth. 

Mr McHugh said LJ Hooker Commercial Perth had a strong appreciation of the overall objectives of government clients in the dispersal of assets. 

"The activation of a site contributes to the wider economic strategy to create employment generating opportunities, capacity and investment," he said. 

There are design guidelines in place on both estates, ensuring the developments meet the high standards and quality that comes from a Development WA estate. 

"Through our database, we have connections with a broad range of potential purchasers who can make a positive contribution to the economy, whether they're mum and dad businesses or national brands," said Mr McHugh. 

"With demand so high in Perth, the Government wants every purchase to be put to good use." 

For more insights, trends and opportunities across Australia's industrial, retail, office and other sectors, take a look at our flagship network publication, Commercial Magazine.