License article

Development activity picks up on estates

Pellicano Group says renewed business confidence has underpinned a resurgence in development activity across its estates.

Group managing director Nando Pellicano said $91 million of recent activity was prompted by ambitious speculative development to cater for growing business demand.

“The market for pre-lease and existing commercial lease stock within Victoria’s business parks is presently in a state of fluctuation, yet Pellicano’s business park activity remains strong,” he said.

Mr Pellicano attributed the better performance to amenities in the company’s four estates.

A lifestyle precinct in the Moorabbin Parkview Estate includes Quest serviced apartments, restaurant/cafe, business banking, childcare centre, gymnasium, swim school and bulk-billing medical centre.

The group is nearing completion of a 4000-square-metre, speculative, five-star NABERS-rated office building in Moorabbin, 85 per cent leased to anchor tenant Danks.

It has also started building 13 speculative office warehouse units on the same estate.

In Dandenong South at the M1 and M2 Business Parks it is due to complete two speculative corporate-quality office warehouse buildings of about 5100 sqm in November this year.

In the same estate it has begun designing five office warehouse units from 200 sqm to 1400 sqm, which will be available for lease early to mid-next year.