Records are being set as investors and owner-occupiers – compete for prime land in Adelaide’s classic industrial postcodes.

Multiple buyers have recently contested a builder’s yard in Green Fields, with the successful purchaser paying $1.9 million plus GST for a site of 3183 square metres. JLL’s Kym Hutchins managed the sale.

JLL also sold a prime landholding of 5550 square metres in Richmond, achieving a record price in excess of $1000 per square metre.

JLL’s Head of Logistics and Industrial -- South Australia, Martin James, said prime industrial property in Adelaide’s inner suburbs was hotly sought by owner-occupiers and developers alike.

“Both transactions confirm the demand for well-located, functional industrial property, whether it be for development or owner occupation, and how this demand continues to far outstrip supply.

“This is likely to continue for the foreseeable future, even amid rising interest rates.

“The lack of available inner-metropolitan sites combined with this level of demand has seen significant property value uplift. The sales in Green Fields and Richmond are proof of this, and as a result we have an extensive list of buyers keen to acquire property across the metropolitan area,” Mr James said.

The Green Fields property is within an established industrial precinct in Adelaide’s north. Formerly used for materials storage, it was offered with vacant possession.

JLL’s Director, Logistics and Industrial, Kym Hutchins, said: “JLL received in excess of 60 enquiries, mostly dominated by owner-occupier interest. The site was keenly contested. We understand the new owner intends to develop this well-positioned landholding for their own use.”

The Richmond property provided a main-road address with warehousing of 2000 square metres.

The off-market sale by expressions of interest gained strong interest from developers keen on the property’s proximity to the CBD and Adelaide Airport, large frontage, development potential and corner position. The sale achieved a price of more than $1000 per square metre, highlighting the continued demand in Adelaide’s vibrant inner west.