Large industrial users look for space around OR Tambo

Greyvenstein has just concluded a transaction for the five-year lease of 15 631m² of industrial space, comprising mostly cold-storage facilities and located in Lascelles Road, Meadowdale, on behalf of Stamford Sales, which is part of the Mavelapanda Group. This transaction, together with a number of other leases recently concluded by Greyvenstein, has a combined total capital value of R42 million.

Companies wishing to expand

"It is positive to note that many of the enquiries currently being received are from companies wishing to expand their operations. Among recent enquiries are those for 13 000m² of space for a warehousing/distribution facility near OR Tambo and for 5000 to10 000m² of industrial property to lease. Most of the bigger users tend to seek modern accommodation," he said.

Currently there is a lot more land around OR Tambo becoming available with the larger land users offering competitive rates for new builds. ACSA Properties has released a few new nodes around the airport for commercial, industrial and retail developments, and there've also been a number of buildings completed in the past 12 months.

Definite growth in the area

"An industrial park has been completed and occupied, with another coming out of the ground. There is definitely growth in the area, with a number of smaller operators also looking for larger space. In addition, there are enquiries from companies presently located in more outlying areas, who are seeking a more central location," said Greyvenstein.

"In Meadowdale we are also seeing smaller industrial space being taken up in the size range from 200 to 800m². Coupled with this, we are also seeing the development of mini-units with a good uptake in the 300 to 800m² size range in Hughes, an industrial area just off North Road, east of East Rand Mall.

Uptake in industrial vacancies

Greyvenstein said that in Jet Park, situated between the R21 and N12, there has been an uptake in industrial vacancies in recent months, predominantly ranging from 300 to 1000m² and mostly for warehousing and distribution facilities.

Currently JHI is marketing available industrial space in the above areas, predominantly around OR Tambo, varying in size between 250 and 11 700m² and at gross rentals ranging from R30 to R45/m². "This is a very competitive particularly when compared with the going rate of approximately R60/m² for brand new developments," added Greyvenstein.