Subiaco-based Westbridge Funds Management has acquired a manufacturing facility interstate for slightly more than $30 million.
Subiaco-based Westbridge Funds Management has acquired a manufacturing facility interstate for slightly more than $30 million.
The Western Australian fund manager bought 46-50 Unwin Street in Pinkenba, Queensland from Saltaway Pty Ltd for $30.51 million.
In its statement, Westbridge said the Pinkenba facility offered a regular income stream from an existing lease to HMG Hardchrome.
Westbridge capital transactions head Simon Worth said the Pinkenba facility was in one of Australia most sought-after industrial precincts, being near the CBD, airport and port in Brisbane.
“The asset is land-rich, sitting on a substantial 20,023 sqm site offering three street frontages, with the underlying land underpinning a significant portion of the total asset value,” he said.
“Facilities of this kind are difficult and costly to replicate, and hence experience strong pent-up demand from both tenants and occupiers.”
CG Property’s Dan Munnich and Michael Callow acted as selling agents for the transaction.
The site is the first asset acquired for Westbridge’s industrial opportunity fund.
The Westbridge Industrial Opportunity Fund was recently launched to wholesale investors, and has a minimum investment of $100,000 with $10,000 for additional investments.
“The fund aims to deliver a total return comprising monthly income distributions plus potential for capital uplift, with a targeted internal rate of return of 11-13 per cent,” Mr Worth said.
“We are working towards this by focusing on a strategic blend of income-generating properties and assets that offer value-add potential through leasing, repositioning, and/or development.”
Westbridge Funds Management chair Damian Collins said the fund offered an investment structure with greater flexibility for investors to increase their share or exit through set withdrawal windows.
Mr Collins said there were increasing prospects in the industrial sector, particularly in the mid-sized market with strong tenant demand and tight supply.
“This market segment has additional appeal to us as it tends to be outside the price scope of most smaller investors, and is below the usual range for institutional investors, meaning more opportunities for entities such as Westbridge Funds Management to acquire quality assets,” he said.
Westbridge has been growing its footprint in Queensland for some time, having acquired Charter Hall's retail centre 25 kilometres from Brisbane for $23 million in March last year.
The acquisition followed Westbridge's buy of a $6 million logistics facility in Brisbane in 2023 and a Queensland medical centre in 2022.
