Vaughan Constructions has completed the $55 million, 81,000sqm Hammond Business Park at Dandenong South with a deal worth more than $8.5 million to construct a new purpose-built facility for promotional products supplier Dex Collections.
The completion of the estate came with a flurry of design-and-construct deals negotiated by Vaughans over the last six months on the back of a critical shortage of industrial land and buildings in the south-east industrial market that has driven a significant escalation in land values.
Vaughan’s development manager in Victoria Chris Telley said the south-eastern market was experiencing the greatest lack of quality industrial buildings in a decade, a shortage that had been exacerbated by a lack of available land.
“As a stronger Victorian economy moves into a higher gear, driving manufacturing and logistics industries, and as residential demand continues to grow and take industrial land, we face even greater shortages – particularly around the key transport nodes and especially along EastLink, and that’s going to mean ongoing upward pressure on land values,’’ Mr Telley said.
He said Dex Collections would take advantage of the first rate road transport links that the estate offered with quick access to Eastlink.
“The location, together with the modern warehousing facility, should deliver significantly enhanced operating performance across the business,’’ Mr Telley said.
The purpose-built facility will comprise 4,905 square metres of office, showroom and warehouse space, concrete hard stand, a loading yard and 74 car spaces on a 13,031 square metre site on the corner of Hammond Road and Rodeo Drive.