The 11,200sqm property sold after nine first round offers and was bought by an occupier moving from South Sydney.

A largescale industrial freehold property in Sydney’s Southwest has been snapped up by clothing business Ramo in a deal worth $27 million.

Split across two buildings and with a total land area of 11,200sqm, the property at 36-48 Ashford Avenue in Milperra was sold by the Colliers team of Trent Gallagher and Hamish Miles, in-conjunction with Jon Orsborn of LJ Hooker Commercial.

The property is currently occupied by tenants 32 Hundred Lighting, Idiom Furniture and G4M Meticulous with a 1.46 year WALE across the site. The yield achieved was 3.47 per cent.

“After a competitive EOI process with nine first round offers, totalling circa $240 million worth of capital, the asset was ultimately sold to a South Sydney occupier looking to re-locate their business to a bigger, more affordable facility,” Mr Miles said.

“This deal continues to demonstrate the strength of the industrial market within the inner Southwest and the ongoing trend of South Sydney occupiers migrating down the M5 Motorway,” Mr Gallagher added.

Providing excellent warehouse clearance of up to 10.8 metres, modern office accommodation throughout and ample on-site designated parking spaces, the property comes with IN1 General Industrial zoning and offers future flexibility for the incoming buyer.

“The buyers jumped on the property as they saw merit in Milperra as a growth suburb on the back of the developments in the immediate area by PWD, ESR and other large corporates,” Mr Orsborn said.

The Milperra industrial market benefits from a wide range of occupier types including retail trade, manufacturing, food processing and logistics.

Since December 2021, the inner South West industrial market, made up of the suburbs being Padstow, Milperra and Revesby, has undergone significant growth with multiple off-market transactions to institutional capital totalling in excess of $600 million worth of property.