Charter Hall Group has commenced construction on its first multi-level warehouse, known as Ascent Logistics Centre in Alexandria, Sydney.
The development will create nearly 27,000 square metres of logistics space across two levels, including 5,000sqm of A-grade office and wellbeing amenity, adding an additional modern long WALE logistics facility to the $2.5 billion Charter Hall-managed CLP portfolio.
Situated in an inner Sydney ‘last-mile’ location, Ascent on Bourke will be the one of the first advanced multi-level warehouses in Australia when it is completed in 2024.
Charter Hall Industrial & Logistics CEO, Richard Stacker, said: “This development addresses existing space limitations and meets growing demand for high-quality, well-located warehouse and logistics facilities with proximity to consumers.
“As land becomes scarcer – particularly in cities like Sydney that are landlocked – and online commerce continues to grow at pace, the need for multi-level warehouse projects will accelerate.”
CLP Fund Manager, Simon Greig, commented: “CBRE data shows rental growth for warehouse space in inner-south Sydney has surged 40 per cent over the past 18 months and is expected to climb another 30 per cent over the next three years.
“With this approach already well-established in places like Hong Kong and Singapore where land is scarce and expensive, more complex projects like multi-level warehousing are the best way to meet demand while maximising land-use in last-mile hotspots.”
Targeting a 5-Star Green Star Design and As-Built rating from the Green Building Council of Australia, the project will include 300kV of solar installations, rainwater harvesting, deep soil landscaping and low-VOC finishes.
More than 100 new trees will also be planted across the site, which will also create green spaces for occupiers to enjoy.
Ascent on Bourke will also promote green travel for workers by providing 64 bicycle parking spaces, premium end-of-trip facilities, and excellent public transport connections.