Sentinel shines up north

November 6, 2020

Chris Herde, Courier Mail

A LEADING Queensland syndicator has boosted its growing industrial portfolio in the state’s north with the purchase of two key assets in Townsville and Mackay worth more than $10m.

Sentinel Property Group chief executive Warren Ebert said the company has invested heavily in North Queensland which believed was a “region with a fantastic decade ahead of it”.

“We’re now holding more than $200m of assets in Mackay and Townsville,” he said.

“Cities such as Mackay are the envy of the rest of the nation with low unemployment and residential vacancy rates, while Townsville has fared better through the pandemic than capital cities.”

Sentinel paid $5,416,550 for a 1.4ha site with a 639sq m building area at 2-6 Curly Crescent, Roseneath, in Townsville.

The property is currently leased to ASX-listed transport and logistics company K & S Corporation until May 2024.

The deal was struck by Knight Frank’s Paul Dury and Mark Fitzgerald for a 9.28 per cent yield.

Sentinel has also acquired a 2ha site with a 4400sq m vacant warehouse at 19-21 Formation Street, Paget, in the Mackay industrial precinct for $4.9m. The property was sold by Ray White’s John Dwyer and Fred DuBois on behalf of receivers and managers Deloitte.

Mr Ebert said the Townsville and Mackay properties will be added to the Sentinel Industrial Trust.

He said Sentinel was able to pay cash for the Roseneath and Paget assets after recently offloading a major office/warehouse facility with a long-term tenant at Canning Vale in Perth’s southeast suburbs for $12.405m.

“The Canning Vale property was also part of the Sentinel Industrial Trust so that sale has enabled us to immediately continue the further acquisition of industrial assets in North Queensland,” Mr Ebert said.

He said Sentinel had a $120m property portfolio in Mackay plus more than $100m of development projects including industrial, hotel, office and mixed use projects in the pipeline for Mackay over the next two years.

“The vacancy rate in the primary Mackay Industrial Precinct of Paget Is nearing 0 per cent, particularly for warehouses over 2000sq m,” he said.

“We already have a number of potential tenants who have inspected the property and we encourage any businesses who require warehouse or hardstand space in Mackay to please contact Sentinel.”