31/08/2012 - Solar Tenants Reflect Demand

Demand from tenants for modern industrial buildings is continuing with a deal struck by a locally-based solar energy specialist on Brisbane’s north side reflecting the trend.  Blue Sun Group has expanded from its Virginia location to a 1,604sqm office/warehouse at 31 Depot St, Banyo.  The building, constructed in 2010, comprises a 1,166sq m warehouse and 438sq m office on a 2,010sqm parcel of land.

CBRE’s Sam Higgins and Lawrence Temple from Raine & Horne Commercial Brisbane North  negotiated the lease on behalf of lessor GMC Holdings Pty Ltd.  Blue Sun Group has committed to a three-year lease with a five-year option and is paying an average rental bill of about $176,000 net a year.  Mr Higgins said the Banyo facility was formerly leased to a Milton-based property group that was impacted by the 201 Brisbane floods.

‘‘Unfortunately the (previous) tenant’s flood insurance claim did not get approved and GMC Holdings was subsequently left with an unexpected vacancy, so it was important to secure a well-established tenant within a reasonable time frame,’’ he said.

Mr Higgins said Blue Sun Group had been based at Northlink Place, Virginia, and needed significantly more space to accommodate their expanding solar range. He said they had been looking for a suitable property for several months and considered options at Virginia, Northgate, Geebung and Banyo.

‘‘The Depot St building appealed to the tenant due to its standalone nature, the cubic capacity of the warehouse and the 7.2m internal roof clearance,’’ he said.  ‘‘It also has a high component of air conditioned technical workshop area and office that suited their business.’’