A company headed by former Queensland Premier Campbell Newman has snapped up a West Kalgoorlie industrial and engineering workshop property for $10.9 million, its second purchase in the area this year.
Commercial property investor and funds manager Arcana Capital said it had finalised the purchase of the land on which the Pacific Energy building sits.
The total allotment of 20,236sqm across three adjoining lots at 65 Carnegie Street comprises a net lettable area of 4460sqm and includes a big workshop facility with two 20-tonne gantry cranes, an office, warehouse, 44 car bays and substantial concrete hardstand.
The purchase follows Arcana buying another West Kalgoorlie industrial and engineering workshop property on Kayili Road this year for $8.15 million, as well as a medical and allied health property in Mackay, Queensland for $6 million and an industrial workshop in Mackay for $3.5 million.
Arcana said the Carnegie Street property was tenanted by Pacific Energy, a wholly-owned subsidiary of Queensland Investment Corporation, a global investing entity owned by the Queensland Government.
A 10-year lease expires on June 30, 2031.
Arcana said Pacific Energy was a market leader in the design, delivery and implementation of power-generating assets in the remote energy, distributed energy resource and renewables sectors.
Arcana Capital manager of investor relations Colby Phillis said the investment in the asset was particularly driven by Kalgoorlie-Boulder’s position as a key centre for mining and processing of “new economy minerals”.
“Kalgoorlie is in one of the most resource-rich areas of the world with Western Australia set to become a world leader in renewable energy and distributed energy resource projects,” Mr Phillis said.
“With a secure tenant, this purpose-built brand new workshop was very appealing to our investors, with our wholesale fund being well over-subscribed.”
Mr Newman, also the former Lord Mayor of Brisbane, is Arcana Capital managing director and chairman.
The company has been operating since 2015 and has successfully completed the acquisition and ongoing management of 28 properties worth $180.56 million and raised more than $100 million in investor equity.
Its investment portfolio features fuel stations, retail, office and industrial properties in Queensland, South Australia, Tasmania and WA.