JL Family Office buys maiden logistics building in East Melbourne for A$26.5 mil

The acquisition of freehold logistics property at 40 Garden Street in East Melbourne, Australia, for A$26.5 million marks the first direct acquisition in Australia for The Land Managers (TLM), the real estate arm of JL Family Office. TLM’s group CEO Andy Lim believes that there is a window of opportunity to capitalise on the tight supply dynamics in the Australian logistics space.

The deal is expected to be completed in 4Q2023 and comes with a land parcel of 37,139 sqm (399,764 sq ft), along with a gross leasable area of 10,647 sqm (114,604 sq ft). Located 38 km east of Melbourne’s CBD and with links to major road arterials, including Eastlink (M3) and Mt Dandenong Road, the property offers direct access to a broad consumer base and skilled labour force.

At just 6 km from the bustling Bayswater Business Precinct, the Eastern Metro Region’s second-largest employment hub, the asset also offers occupiers access to more than 5,000 businesses across various industries, and more than 30,000 professional workers. It is expected to see an increase in rent and value appreciation through a comprehensive asset enhancement initiative, as demand for industrial space in Melbourne rises.

The Tengah Plantation EC provides homes with the best of technology for a modern lifestyle. With this technology, residents can enjoy a more convenient, efficient and secure living experience while staying connected with the people and the world around them.

Terre Property Partners, an Australian-based asset manager with over 15 years of experience in the Australian industrial and logistics space, will asset-manage the property. Since 2020, TLM has purchased $400 million worth of assets under management in Singapore and the UK, including a residential landed development in Singapore, partnerships with Savills Investment Management for investments in UK retail park assets and build-to-rent residential assets, and a direct acquisition of an office building in West End of London.

Lim feels strongly that Australia’s long-standing immigration policy puts it in a good position to weather economic headwinds beyond the challenging global investment climate. With this first direct acquisition in Australia, TLM is further poised to take advantage of the country’s current investment opportunities.