The industrial heartland of Melbourne’s west is once again proving its mettle, with two major transactions in Laverton North underscoring the sector’s renewed momentum and investor appetite.
The recent sales of 111–125 Cherry Lane and 97–103 Boundary Road are emblematic of a market in transition - where capital is returning, yields are stabilising, and strategic positioning is everything.
Chris Jones, Charlie Holmes, Tony Iuliano and Adrian Rowse of Cushman & Wakefield negotiated both sales.
Tatong Holdings acquired 111–125 Cherry Lane for $24.55 million from Juilliard Group. The fully leased 9,166 sqm of GLA sits on a 29,713 sqm site, with a low 31% site coverage and a short WALE of 1.4 years, offers significant rental reversion potential.
Chris Jones of Cushman & Wakefield said
“This transaction reflects the market’s appetite for well-located, reversionary assets with strong underlying fundamentals. The buyer recognised the opportunity to capitalise on the rental uplift and long-term locational strength of Laverton North.”
A private investor snapped up 97–103 Boundary Road for $26.1 million from Gateway Capital. The asset, comprising 7,053 sqm of high-quality industrial space across three buildings sits on a 20,030 sqm site and is fully leased to three tenants and boasts a WALE of 4.5 years, highlighting the strong demand from local private capital in the sub-$30 million bracket.
Mr Jones said both of these transactions are part of a broader resurgence in the logistics and industrial (L&I) sector. “Nationally, over $4.4 billion in assets have traded in 2025 so far, a 50% increase from the same time last year. With more deals in the pipeline, total volumes could reach $10 billion, making this the second strongest year on record”.
While Victoria’s transaction volume has been tempered by tax-related headwinds - just $620 million so far this year - the fundamentals remain unmatched. The state is projected to add 1.2 million people over the next decade, driving demand for 4.8 million sqm of new warehouse space, or 34% of Australia’s total requirement.
Charlie Holmes of Cushman & Wakefield said
“We’re seeing proactive capital move early to secure assets before the next wave of competition hits in the second half of 2025. Those who act now will be best placed to benefit from the coming yield compression.
“With the West Gate Tunnel Project nearing completion and improving access to the Port of Melbourne, Laverton North is becoming even more attractive. These recent sales are a clear signal: the industrial market is not just recovering—it’s accelerating” he said.
