One of the biggest beachside land holdings in Perth's western suburbs has been placed on the market with the for sale sign going up on a 1.68ha tract of land at Leighton Beach in North Fremantle.
Strong interest is expected in the property, which has an industrial zoning, because of its possible redevelopment potential that could deliver a high-density residential project close to the ocean.
It will be marketed via an expressions of interest campaign by agents Jones Lang LaSalle.
The site is rented by Standard Wool, which co-occupies the site with furniture retailer Super A-mart.
Together the tenancies generate an estimated net passing income of just over $1 million a year at an average rate of $69/sqm.
Jones Lang LaSalle's director, sales and investments for WA, Phillip Fogliani, said the site comprised three titles bounded by Walter Place and Bracks and Irene streets, with a 540sqm two-level office building along with a 13,000sqm warehouse, 1325sqm workshop and a small lunch bar.
"The potential and value of this site, in addition to its current income-producing ability, is its location some 200m from the ocean, proximity to Fremantle and Perth CBDs combined with immediate access to rail and bus transport," Mr Fogliani said.
"Underlying these virtually unparalleled features is the surrounding 19ha of increasingly underused industrial land which has the potential to become one of Perth's most exclusive master planned medium to high-density residential enclaves.
"Other property owners in the precinct include the LandCorp-controlled WA Land Authority which owns and controls 4.7ha, and the Fremantle Port Authority which has a holding totalling about 3.6ha. Shell and Caltex are the two single biggest landholders with 12.6ha or about 60 per cent of the total land area."
The land offered is immediately south of the Beachside Leighton high-density residential development.
Jones Lang LaSalle managing director John Williams said that an expert report detailed the process and prospects of the aggregated land receiving an "urban" zoning which would allow for densities in excess of R160 with a potential plot ratio of 3:1.
Mr Williams said that the Beachside Leighton development, which comprised two apartment buildings containing 220 dwellings as well as restaurants, cafes and shops, represented a glimpse of the site's overall development potential.
"This could become the most significant regeneration project in the metropolitan area," Mr Williams said.
"Its beachside location within the western suburbs means it would immediately match if not out-rate earlier iconic developments like East Perth and Subiaco," he said.Expressions of interest close on August 8.