_Industrial portfolio of seven heavy vehicle refuelling facilities up for sale

October 16, 2022

7 heavy vehicle refuelling facilities along with one adjoining parcel of vacant land in an IOR portfolio are being taken to the market
The properties, which are valued at more than $26 million, are being offered for sale in one line or individually
6 of the properties are in Queensland, while one is in New South Wales and one is in Western Australia
The assets are expected to be sought after due to their locations in strategic industrial areas, the strength of the tenant covenant and WALE, and the value-add potential of the underutilised sites

Brisbane, Australia – A PORTFOLIO of heavy vehicle refuelling facilities across three Australian states and valued at more than $26 million is being taken to the market.

The eight properties in the portfolio, six of which are in Queensland, with one each in New South Wales and Western Australia, are being sold by Australian-owned IOR.

IOR operates a network of nearly 100 unmanned diesel stops designed for heavy vehicles operating 24/7 across Australia and delivers bulk fuel, storage and monitoring solutions throughout Australia.

The assets, which include seven heavy vehicle refuelling facilities, along with one adjoining vacant parcel, will be taken to the market via an Expressions of Interest campaign run by Knight Frank agents Mark Clifford and Elliot Ryan.

The properties will be offered for sale in one line or individually

The portfolio totals 84,000sq m of land and consists of the following:

Queensland

16 Ashburn Road, Bundamba (4,238sq m site)
Lot 1, 10797 Warrego Highway, Charlton (19,910sq m site)
Lot 2, 10797 Warrego Highway, Charlton (19,780sq m site) (vacant site)
5 Palmetta Street, Chevallum (3,000sq m site)
31 Notar Drive, Ormeau (4,000sq m site)
Cnr Hungerford and Glasser St, Goondiwindi (20,242sq m site)

Western Australia

27 Mercury Rise, Muchea (10,000sq m site)

New South Wales

15 Zlypha Dr, South Kempsey (2,935sq m site)

Mr Clifford said the portfolio offered investors instant scale and diversified exposure across three states with a focus within South-East Queensland, Australia’s fastest growing economy.

“These properties are in strategic industrial locations offering exceptional land holdings,” he said.

“Each site provides value-add potential for investors, subject to council approval and the lessee’s consent, but they currently offer strong income with a total passing net income of $1.6 million and a 10-year WALE.

“The portfolio has a strong tenant covenant with a 100 per cent occupancy rate.

These factors together - strong WALE, prominent locations, all along major highways within high-profile states and value-add potential - represent one of the most unique opportunities presently within the industrial investment market.”

Mr Clifford said industrial land values continued to escalate in Australia, and an incoming purchaser would benefit from ongoing growth.

“Desirable locations with good access to transport infrastructure are increasingly scarce and the large scale of tenant requirements is another driver of growth, with markets seeing a narrowing of the spread between the values of smaller and larger lots,” he said.

IOR Managing Director Stewart Morland said the sale of the assets would enable the company to focus on fuelling the needs of its customers in the essential transport industry.

“Our network of diesel stops serves the needs of Australia’s transport industry which is a critical component for most Australian supply chains,” he said.

“Increased demand for transport driven by growth in agriculture, manufacturing, and merchandise imports and exports has in turn been a catalyst for our business’ success.

“We see the sale of these assets as an opportunity to fuel future growth in our business.”

The Expressions of Interest campaign for the property at 4pm on November 16.

For further information, please contact:

Vanessa De Groot – Marketing & Communications, Knight Frank

Vanessa.degroot@au.knightfrank.com +61 410 460211

Ends

Notes to Editors

Knight Frank LLP is the leading independent global property consultancy. Headquartered in London, Knight Frank has more than 16,000 people operating from 384 offices across 51 territories. The Group advises clients ranging from individual owners and buyers to major developers, investors and corporate tenants. For further information about the firm, please visit knightfrank.com.