Logistics property specialist Logos has been appointed to develop a $35 million purpose-built, multi-branded truck facility at its Prestons Logistics Estate in Sydney for Volvo Group Australia, a wholly-owned subsidiary of the Swedish-based Volvo Group.
The pre-lease to Volvo Group Australia marks the second stage of development works at the Prestons Logistics Estate, a 25-hectare site located in the established logistics precinct of Prestons in south-west Sydney.
Logos acquired the site in mid-2016 and immediately commenced the development of two warehouse distribution facilities for Toll Transport spanning over 65,000 square metres.
The Volvo Group Australia facility will have a total lettable area of approximately 29,300 square metres including heavy duty hardstand areas and will incorporate 40 heavy-vehicle workshop bays, sales offices, a drive through truck wash bay and truck parking.
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The facility will play an important role in servicing Volvo Group Australia’s customers across their Mack, UD and Volvo truck brands in the Sydney region, with its state-of-the-art workshop and parts warehouse. Volvo has committed to an initial 10-year lease term on the facility, with construction expected to complete in the third quarter of 2018.
When completed, the Prestons facility will hold real estate worth up to $300 million.
In March, Logos signed a deal with eStore Logistics to deliver a $25-million warehouse in Marsden Park in Sydney’s outer north-west which eStore will occupy on a five-year deal.
Logos also recently acquired a 4.4-hectare warehouse site at Banksmeadow in Sydney’s south for $72.4 million which is currently leased to a global packaging company.
Earlier this year Logos launched a $500 million industrial and logistics fund to acquire and own high-quality core and core plus logistics facilities in prime industrial markets.
Logos joint managing director, John Marsh said: “We are very pleased to be welcoming Volvo Group Australia to the Prestons Logistics Estate and developing their new truck facility in Sydney.
“The Estate provides VGA with excellent transport access to the M5 and M7 motorways to support their wide spanning Sydney operations.”
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Volvo Group Australia’s president and chief executive officer, Peter Voorhoeve said: “The estate is an ideal location for Volvo Group Australia to house our new, larger, multi-branded truck facility and workshop given the proximity to key arterial motorways.”
With the backing of Macquarie, Logos’ Australian development pipeline now stands at $1.9 billion across New South, Victoria, Western Australia and Queensland.
