Sector Property chooses Ballarat for first regional project.
(RealEstateSource.com, May 10, 2023 - original article here)
Sector Property Group has purchased a Delacombe site for its maiden regional project – HQ Ballarat. The 20 year old group is intending to redevelop the 11.2 hectare Heinz Road parcel with a business park containing 59 subdivided industrial land lots.
It has been a busy year for the company, which also just kicked off a sales campaign for subdivided lots within a 6.2ha industrial park at Altona North, abutting Kororoit Creek.
Also in Melbourne’s west, in the neighbouring Williamstown, the developer recently started building four warehouses, between 535-2849 square metres, replacing a former boat building yard, on Ganton Court.
Sector is also set to replace the ex-Atari headquarters at Oakleigh South, south east of Melbourne, with a The Base business, leisure and storage facility.
Sector has now listed 18 land lots in stage 2 at the business park, to be known as HQ Ballarat.
One of the properties, spreading 2742 sqm, is amongst four industrial supersites master-planned for the estate.The balance of the parcels cover between 750-2015 sqm.
“Ballarat is a growing regional city and this opportunity to secure an exceptional parcel of land for a HQ land subdivision was perfect for our development scope,” Sector development manager, Thomas Patterson, said.
Ballarat, with a population of about 73,000 making it Victoria’s second biggest town after Geelong, is 115 kilometres north west of Melbourne.
Knight Frank’s Nathan Edgar brokered the Heinz Rd land sale. He is also marketing the subdivided lots with Thomas Dodd and Colliers’ James Lawson, Lauchlan Waddell and Bowen Kemp.
“It ticks all the boxes for what Sector looks for in its acquisitions…it is an ideal location, being close to Ballarat’s growing residential areas and commercial hubs and is in close proximity to freeways and transport links,” according to the executive.
There is strong demand for Ballarat industrial product too, he said.
The Stage Two release, is currently on the market via an Expressions of Interest campaign ending 17th May 2023, run by Knight Frank agents Nathan Edgar and Thomas Dodd in conjunction with James Lawson and Lauchlan Waddell of Colliers.
Delacombe is a growth corridor suburb about nine kilometres from Ballarat.
Elsewhere in the suburb, SCA Property Group in 2021 paid $112m for the then four year old Delacombe Town Centre, which is anchored to Kmart and Woolworths.
That seller was Troon Group which also two years ago sold a large format retail investment abutting it, the Ballarat Lifestyle Centre, for $12.39m.
Mr Edgar said demand for industrial land in Victoria’s regions has never been stronger.
“Regional cities have grown in popularity since COVID and as more people have moved to these areas the demand for industrial land has risen,” he added.
“Within Ballarat, Delacombe is the centre of industrial activity, being the city’s second largest industrial precinct and with plenty of vacant land on which to build – for now,” according to the agent.
“We expect the land supply to significantly reduce over the coming year.
“We are excited for what is to come from this great acquisition by Sector as we know the product will be highly sought after by occupiers…it is close to key arterial roads, retail, and services such as Reece Plumbing, Bunnings, Ballarat City Centre and the Ballarat Base Hospital.
“There are also several major infrastructure projects scheduled for completion within the upcoming five to 10 years in the locality, such as the Western Highway upgrade, the Ballarat Base Hospital redevelopment and expansion and the Ballarat Link project, which will link the Western, Glenelg and Midland highways”.
“Ballarat is a booming regional city and it makes sense for Sector to look outside Melbourne to deliver its tailored industrial solutions to other key markets,” Mr Patterson said.
“It’s been a big year for Sector Property Group with the launch of seven new projects with over $500m of value in its pipeline, with Ballarat the latest addition,” he added.