Stockland, an Australian property development company, has bought Brownes Dairy's industrial site, in a deal worth $53.5m.
The transaction includes Brownes Dairy's processing and distribution center, as well as head office in Balcatta.
With direct exposure to the Reid Highway, the Brownes Dairy site is close to the Mitchell Freeway and offers good access to the Perth CBD and northern growth corridor, Stockland claims.
Stockland managing director and CEO Mark Steinert said that the company is making excellent progress implementing its strategy to grow its Logistics and Business Parks portfolio.
"This is our third significant industrial acquisition in FY14, following purchases at St Marys and Ingleburn in Sydney," added Steinert.
The transaction is anticipated to generate an initial funds from operation yield of 7.5% and an initial underlying profit yield of 9.7% annually.
Brownes offers a wide range of products including, white milk, yoghurt, flavored milk in Kick and Chill, cream and juice.
