Leighton

Project Location

The Property is located within the established Hornsby industrial precinct on the northern fringe of Hornsby town centre, approximately 24 km north of Sydney CBD.

Project Development

The Subject Property occupies a land area of 8,993 sq m, and is an ongoing construction of 51 industrial units. The 51 units include two distinct unit types, being 16 mini warehouse units and 35 office warehouse units with average floor areas of 84 sq m and 121 sq m respectively.

Surrounding developments in the immediate locality comprises mostly freestanding factory and warehouse buildings constructed over the last 50 years, with small strata unit estates interspersed in the area. The wider region of Hornsby predominantly comprises low-rise residential housing with high-density residential redevelopments situated within close proximity to the Hornsby railway station and the Hornsby town centre. Hornsby railway station is situated two kilometres south-west of the Security Property.

Demand for industrial property throughout the Sydney Metropolitan area remains strong, due in part to the lack of stock available. With the limited availability of industrial stock in Sydney’s North, values are expected to remain stable (with bias towards the upside) over the medium longer term. The ongoing trend towards rezoning and redevelopment of industrial land for residential uses is expected to strengthen the demand for industrial stock located in proximity to good transport infrastructure.

Project Loan Details

The subject loan is to provide development finance for the developer to complete the construction, which is anticipated to be in January 2024. Repayment of the loan will be via a refinance of the construction finance facility or through sales proceeds.