QUANTA | Commercial Investment Opportunity

Day 1 Distribution

8.25% Net P.A.

5-Year Average Distribution

8.75% Net P.A.

Purchase Price

$10.6M

WALE (by income)

6.65 Yrs

Occupancy

100%

Sector

Industrial

Trust Term

7-Year Closed-Ended

This investment proposition offers a compelling forecast distribution starting at 8.25% net p.a. in Year 1, paid monthly, targeting a 5-year average of 8.75% net p.a. The property is 100% occupied, ensuring secure income through a 6.65 Year WALE (by income), with 93% of the income underpinned by a new 10-year lease and 6-year lease renewal. Income growth is inflation-proof with annual reviews offering the greater of fixed increases or CPI.

The 32,000 sqm industrial property boasts a substantial 8,217 sqm building area, reflecting a site cover of 26% and potential for additional lettable space. The purchase price is highly favourable, equating to an 8.56% passing yield and $1,247 psm of building area, estimated at 50% of replacement cost. Located in a tightly held, undersupplied market with minimal competing vacancies, this opportunity is structured as a Single Asset Closed-Ended Trust with an anticipated investment horizon of 5-7 years.

The minimum investment amount for this opportunity is $50,000 for Wholesale investors.

After a fantasic response from our investors, this opportunity is now closed, fully subscribed!

Investment Resources

Information Memorandum

Quanta Ingham Road Industrial Trust - Information Memorandum

Property Walkthrough

Quantacast Episode 10

Why Townsville?

Population Growth

Townsville is the largest city north of South-East Queensland and unofficially considered the capital of North Queensland. It is projected to experience the largest population growth in Regional Queensland, of up to 57% growth by 2046. (Queensland government population projections 2023 edition, QGSO).

Strategic Location

The property is situated in the primary industrial precinct in Townsville along Ingham Road, which serves as a major transport artery in Townsville. It’s strategic location provides easy access to the CBD, the Port of Townsville and the Townsville Airport.

Investment in the Region

Key infrastructure projects include the $5 billion CopperString Project, $1.6 Billion Port Expansion Project, $700 million RAAF Base Upgrade, and $530m Townsville University Hospital Expansion.

Diverse Economy

The Townsville economy comprises a diverse range of industries which is primarily underpinned by Manufacturing and Construction (27%), Healthcare and Public Services (21%) and Mining (6%). (Townsville Enterprise)

Industrial Sector Overview

Most key performance metrics such as vacancy and rents at a national level continue to outperform historical averages and this trend is expected to continue in the medium to long term.

The national vacancy rate for the industrial sector remains exceptionally low at just 1.0%, underscoring the high demand and limited supply within this market.

Industrial weighted net face rental growth was reported to be 21.5% in CY2023, remaining approximately 6 times greater than the 10-year annual average of 3.0%.

In response to heightened levels of occupier demand, CY 2023 produced the largest annual level of supply on record at 3.3 million square metres. However, this has done little to alleviate demand pressures, with over 80% of the supply completed being pre-committed.