40 Scanlon Drive
Epping, Victoria
40 Scanlon Drive is a high-quality modern logistics facility strategically situated in the industrial precinct of Epping, Victoria. Purchased at an attractive initial yield, the asset presents a compelling countercyclical investment opportunity, positioned to take advantage of structural tailwinds in Melbourne’s industrial sector. The property offers a strong income profile underpinned by annual rent reviews of 3.5%- 4.5% and supported by high-quality lease covenants to GCP Australia and Mission Foods.
PURCHASE DATE
June 2026
ADDRESS
40 Scanlon Drive, Epping, Victoria
LAND AREA
17,715 sqm
GROSS LETTABLE AREA
9,370 sqm
OCCUPANCY
100%
KEY TENANTS
GCP Australia (a wholly-owned subsidiary of Saint Gobain) and Mission Foods (a wholly-owned subsidiary of Gruma)
Asset Highlights
- High-quality Logistics Accommodation – The asset comprises high-quality modern industrial accommodation with full drive-around vehicle access, substantial internal clearance heights, ESFR sprinkler protection, and efficient all-weather loading capability, positioning it well to meet the operational requirements of modern logistics users.
- Countercyclical Investment Opportunity – The property will be purchased at an attractive initial yield of 6.38%, a 64bps discount to the 10-year average initial yield for Prime Melbourne industrial (CBRE Research).
- Strong Fixed Income Growth – The current lease profile offers significant in-built income growth with fixed rent reviews of 3.5% – 4.50%.
- Flexible Configuration with Secured Income Stream – The asset is configured to a multi-let arrangement and is fully leased to strong tenant covenants in GCP Australia (a wholly-owned subsidiary of Saint Gobain) and Mission Foods (a wholly-owned subsidiary of Gruma) with a robust WALE of 4.82 years.
- Exposure to Global Lease Covenants – The parent companies of GCP Australia and Mission Foods comprise significant global diversified businesses with revenues of $76.6 billion and $9.1 billion respectively (AUD).
- Prime, Connected Industrial Location – The property is located within the prime northern industrial precinct of Epping, 20km from the Melbourne CBD. The asset benefits from strategic immediacy to the Melbourne Airport, Western Ring Road and the Hume Freeway linking to the wider Melbourne distribution network.
- Substantial Discount to Replacement Cost – The property will be purchased at a significant discount to replacement cost and is underpinned by a high underlying land component of 62%.
Property and Location
Epping, in Melbourne’s northern growth corridor, has established itself as a strategic industrial precinct supported by strong transport connectivity, population growth, and demand for modern logistics facilities. Located 20 km north of the Melbourne CBD and approximately 18 km from Melbourne Airport, the suburb provides excellent access to key freight and distribution networks, with direct links to the Hume Freeway, Metropolitan Ring Road (M80), Craigieburn Bypass and Cooper Street. This connectivity positions Epping as a core logistics and warehousing hub servicing both metropolitan Melbourne and interstate freight routes.
