 Asset Class: | Industrial |
 Price: | $ 1925000 |
 Net Yield: | 6.00 % |
Net Yield - including solar strategy: | % |
 Property Market Status: | On Market |
<b>Excellent Industrial Freehold Asset with Rental Upside & Value-Add Potential Commencing at 6% Net Yield</b><br><br>This is a rare opportunity to acquire a freehold industrial asset in the well-established Midvale precinct. The property spans 2,523sqm of land, featuring a 1,078sqm building area.<br>Currently an on-market listing with asking price from $2M, we have secured a discounted price reflecting a 6% net yield (subject to the receipt of an external offer).<br>The seller, Primary Sales Australia, is a national supplier of agricultural machinery and the long-standing tenant of this site for over 30 years. As a genuine vendor, they are committed to remaining in the location, reflected in a new 5+5+5 year lease at a competitive rental rate of $107/sqm, providing long-term income security.<br>Strategically positioned just 8km north-east of Perth Airport, the property offers seamless connectivity via Roe Highway and Great Eastern Highway.<br>With 50m of street frontage, a 2,523sqm landholding, and future development potential, this investment presents both immediate rental income and long-term capital growth opportunities.<br><br><b>What We Like About This Asset</b><br><br>- Freehold Industrial Asset sub $2M is rare to find<br>- Purchase price reflects replacement value of building (excl land)<br>- Building Purchase rate only $1,786/sqm<br>- 10-20% Rental Upside, currently leased at $107/sqm<br>- Development upside on 2,523sqm land holding with 50m street frontage and dual cross-over<br>- National tenant (lease back) with long, secure lease term<br>
How old is the asset?
Vendor's reason for selling?
Days property been on market?
Is this property strata titled?
Are the seller and tenant related parties?
How long has the current tenant been on site?
How long has the tenant been in business?
Is this property in a flood zone?
Is this lease a leaseback arrangement?
<b>The Industrial Market</b><br><br>Midvale hosts a diverse range of industrial businesses, primarily catering to manufacturing, automotive services, construction, and logistics. The area is home to mechanical workshops, engineering firms, metal fabrication businesses, and equipment suppliers supporting the mining and construction sectors. Additionally, warehousing, transport, and distribution companies benefit from Midvale’s strategic location near major transport routes, including Great Eastern Highway and Roe Highway. The presence of trade suppliers, industrial service providers, and specialist manufacturers further strengthens the precinct’s economic base.<br><br>Midvale’s industrial market features a mix of medium to large-format industrial properties, with a combination of standalone warehouses, office-warehouse facilities, and light industrial units. Landholdings typically range from 1,000sqm to 5,000sqm, with a moderate building density to allow for truck access and outdoor storage. <br><br><b>Lifestyle & Population</b><br><br>Midvale offers a balanced lifestyle with suburban charm and urban convenience. The area features a mix of older homes and new residential developments, attracting families, professionals, and retirees. With access to parks like Elder Park and Morrison Park, as well as local schools and community amenities, residents enjoy a relaxed yet connected lifestyle. Public transport options, including the nearby Midland train station and bus routes, enhance accessibility to Perth CBD and surrounding suburbs, making it an attractive place to live. <br><br>In recent years, Midvale has experienced steady population growth, supported by new housing developments and infrastructure improvements. The suburb is located in the City of Swan. The population forecast for 2025 is 177,823, and it’s forecast to grow to 298,965 by 2051 (68%+).<br>
Additional Location Information File<b>Primary Sales Australia</b><br><br>Primary Sales Australia specializes in providing innovative agricultural equipment and solutions to enhance the efficiency and profitability of broadacre grain farming operations. Established in 1985, the company offers a comprehensive range of products, including tillage parts, precision seeder bars, and harvest aids designed to optimize seeding and harvesting processes.<br><br>With headquarters in Perth and additional offices in Dubbo, NSW, and Adelaide, SA, Primary Sales Australia maintains a strong network of independent machinery dealerships across the country, ensuring farmers have ready access to their cutting-edge products and support services. <br><br><a style="color:rgb(51, 51, 51);display:inline;" target="_blank" href="https://www.primarysales.com.au/"><u>https://www.primarysales.com.au/</u></a><span></span>
Initial Term:
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Under the leases all outgoings are 100% recoverable, including management fees and land tax.<br><br>2025 Estimated Outgoings:<br>1. Council Rates: $11,090*<br>2. Water Rates: $4,013*<br>3. Land tax: $9,922*<br>4. Insurances: $3,564*
Additional Financial Information FileInitial Term:
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Security Info:
44 Meliador Way, Midvale - 1,078m2 - $107/m2 24-26 Elmsfield Rd, Midvale - 1,087m2 - $202/m2 331 Great Eastern Highway, Midvale - 820m2 - $195/m2 8 Meliador Way, Midvale - 1,284m2 - $132/m2 2-6 Bushby Street, Bellevue - 800m2 - $196/m2
Offer To Purchase:
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Initial Deposit:
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Due Diligence:
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<b>Purchase Price:</b> $1,925,000 (price negotiated but active, on-market listing and a higher offer may be received at any time)<br><br><br><b>Initial Asking Price:</b> from $2M<br><b>Current Net Rent:</b> $115,500pa + Outg + GST (incl mng) <br><b>Current Net Yield:</b> 6% (incl mng)<br><b>NLA / Land:</b> 1,078sqm / 2,523sqm (freehold)<br><b>Building Rate per sqm:</b> $1,786/sqm<br><b>Net Rent per sqm:</b> $107/sqm (excl mng)<br><b>100% Outgoings Recoverable:</b> Yes<br><b>Outgoings (per sqm):</b> $28,589pa (excl mng) ($26/sqm)<br><b>Age of Asset:</b> approx. 36 years<br><b>Any Incentives in the Lease:</b> None<br><b>Are Seller & Tenant Related:</b> Yes, this is a lease-back<br><b>Re-letting Period:</b> 2-4 months in the current market<br><b>Flood Zone:</b> No<br><b>Bushfire Zone:</b> No<br><b>Contamination:</b> No<br><br><b>Asset Composition: </b><br><ul style="list-style-type:disc;list-style-position:inside;padding-inline-start:20px;"><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">2,523sqm Freehold</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Metal Shed with Front Office</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">1,078sqm of Total NLA comprising</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Single level office and amenities (247 sqm*) with mezzanine board room (114 sqm*)</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Metal Shed warehouse (830sqm*)</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">2 x sliding doors</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Dual crossover access</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">External hardstand/yard storage</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Gated & secure perimeter fencing</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Ample onsite parking</span></p></li></ul><br><b>Infrastructure Level: </b>Tier 1<br><br><b>Key Highlights:</b><br><ul style="list-style-type:disc;list-style-position:inside;padding-inline-start:20px;"><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Freehold with 2,523sqm of land</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">1,078sqm of building area</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">247sqm office + 830sqm metal shed warehouse</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Built in 1989 </span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Purchase Price $1,925,000 (on market subject to no other offer being received)</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">$115,500pa + Outg + GST (incl mng) > only $107/sqm</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Net Yield 6%</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Lease Expiry Jan-2030 + 2x 5-years (2040)</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Annual CPI increase, market review at options (2030 & 2035</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">100% of outgoings paid by tenant (incl mng)</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Tenant - Primary Sales Australia (this is their headquarter - 3 other branches Australia wide)</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Located 8km North East of the Perth Airport </span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Located 17km East of the Perth CBD</span></p></li></ul><br><b>Agent Questions:</b><br><br><b>How long has the tenant been operating in this property?</b> Been operating since 1985 nationally and bought this property in 1992 so approx. 33 years<br><b>Why is the owner selling?</b> They are shifting the business focus and are not property related so want to invest the capital from the sale of this property back into the business and pay out shareholders.<br><b>What's the main business activity of the tenant?</b> As per the IM - Primary Sales Australia, an Agricultural and Industrial Engineering company that designs, manufactures and distributes products to service the agricultural, industrial and mining industries within Australia. They are headquartered in Midvale, Western Australia with branches in Adelaide - South Australia, Bendigo - Victoria and Dubbo - New South Wales and have been operating since 1985. <br><b>Are you aware of any significant defects that may come up in the building inspection?</b> Not that we have been made aware of. The building is functional and works well for the occupier hence their long-term commitment to the property. <br><b>There’s a concern regarding visible ceiling water leaks in office</b>. As per the PCR the roof leak has been fixed and there is no reported ongoing issue to the best of our knowledge.
