Busy logistics investment house Logos has secured Cadbury’s parent company Mondelez for its 42,800sq m automated warehouse to be built in Melbourne’s west.
Logos purchased the vacant 16ha Truganina industrial site for $44.4 million from Former VicUrban development director Michael King and business partner Joe Cairns in mid-2021 with zoning for industrial two and industrial three.
Mondelez, which owns brands such as Cadbury, Pascall, The Natural Confectionery Company and Oreo, will lease the new temperature-controlled distribution centre at 90 Palmers Road on an initial 10-year term from July 2024.
Logos head of Australia and New Zealand Darren Searle said the new facility for Mondelez would boost its business and streamline its manufacturing and distribution processes.
As part of the agreement negotiated by specialist supply-chain consultancy TMX, Logos will also deliver, own and lease out the specialised automation storage and retrieval systems within the warehouse to Mondelez.
“We understood that Mondelez needed a facility that has the inherent flexibility to grow alongside their business,” TMX property director Sam Dellios said.
“The new facility will improve Mondelez’s supply chain efficiency as well as providing significant flexibility to enable their long-term growth aspiration.”
Logos plans to deliver the purpose-built facility for Mondelez over the next 20 months, which will include more than 11,000sq m of high-bay space.
Logos will target a 5-Star Green Star Rating for the distribution centre, implying a net-zero building once operational. Sustainability initiatives will include a 1mW solar system and 50,000-litre rainwater tank.
The facility and another 35,000 to 40,000 sq m shed that Logos has planned for the Palmers Road site will have a combined value of about $300 million.
Mondelez, will relocate from its existing warehousing facilities at Ordish Road, Dandenong in Melbourne’s south-east, owned by CapitaLand.
It had been drawn to the new state-of-the-art shed as the company had wanted to be closer to major supply chain and transport infrastructure, including the Port of Melbourne, Melbourne Airport and the Princes and Western freeways.
Meanwhile, at Dandenong South, ASX-listed heavyweight Centuria Industrial REIT has completed its 40,500sq m development, known as Southside Industrial Estate with blue-chip tenants, ranging from domestic to international entities, now operating from the premises.
Tenants include global packaging businesses Orora and San Miguel Yamamura Australasia Group.
The property is located at 95-105 South Gippsland Hwy, Dandenong South, VIC and was developed by Cadence Property Group on behalf of Centuria as a speculative project across a 20-month development period.
Centuria head of industrial Jesse Curtis said the development had unlocked a rare site in Melbourne’s land-constrained south-east industrial heartland, where vacancy is sub 0.1 per cent.
“The asset has been developed to leverage the continuing demand for well-located urban infill industrial assets,” Curtis said.
“Additionally, the property’s strong sustainability credentials lend themselves to those tenant customers who are conscious of ESG responsibilities.”
Similar to the forthcoming Mondelez facility, Centuria’s estate has been designed to a 5-Star Green Star rating with sustainability features, including a 200- kWh solar PV system, rainwater harvesting to service lavatory water and landscape irrigation, a solar-powered hot water system, energy-efficient LED lighting and water-efficient sanitary fixtures.
