May 2018 :: Trends and Insights
LATEST UPDATE - REFERENCE GUIDE FOR THE EASTERN SUBURBS
CALCULATE YOUR PROPERTIES CURRENT LEASE OR SALE VALUE WITH OUR SAMPLE TABLES BELOW
Industrial property values both sale and lease vary throughout the different areas of Melbourne and continue to change based mainly on economic performance and general business confidence. We find occupiers of Industrial forever intrigued as to their current properties value on the open market be it sale or lease. In response, we provide a value range for land and land + buildings throughout the main industrial areas in for a quick reference guide to the value of your property.
Industrial development in these areas is becoming more difficult due to restrictions of available land, Virtually the only options now are in-fill land holdings or re-development of older properties. Demand in these areas has led to higher prices as both purchasers and tenants pay more for limited options to remain near affluent residential areas and to retain existing workforce. Easy access to road and rail networks are also important in assisting with transport and travel times. Supply will continue to struggle to meet demand, providing ideal investment opportunities as prices continue to rise and remain at high levels.
East (Bayswater, Croydon South, Ferntree Gully, Kilsyth, Knoxfield, Wantirna)
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A GRADE (Prime position, premium business park, new buildings) |
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Sale |
Lease |
Example Calculation - Sale |
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Land |
$450 - $550m² |
$20 - $ 30m² |
Vacant land 4000m² x $450m² = $1,800,000 + GST |
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Land + Building |
$1300 - $1500m² |
$90 - $110m² |
Building 3000m², Land 4600m² 3000m² x $1300m² = $3,900,000 + GST |
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B GRADE (General Industrial location, 20 + years old) |
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Sale |
Lease |
Example Calculation |
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Land |
$350 - $400m² |
$15 – $25m² |
Vacant land 4000m² x $350m² = $1,400,000 + GST - Sale |
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Land + Building |
$1150 - $1300m² |
$75 -$90m² |
Building 3000m², Land 4600m² 3000m² x $77.5m² = $232,500 PA + GST + Outgoings - Lease |
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C GRADE (Average location, 40 + years old building) |
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Sale |
Lease |
Example Calculation - Sale |
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Land |
$300m²+ |
$10 - $15m² |
Vacant land 4000m² x $300m² = $1,200,000 + GST |
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Land + Building |
$900 - $1150m² |
$65 - $75m² |
Building 3000m², Land 4600m² 3000m² x $900 = $2,700,000 + GST |
Disclaimer: Each property is unique and the above figures are intended as a guide only and should not be used as a valuation. For an accurate guide on your particular property value contact a registered valuer or Rutherfords Real Estate for a specific agencies opinion.
