Places in a good place

SALES of Places Victoria’s Dandenong eco-industrial business park LOGIS are helping put the struggling business back in front.
Bidders outnumbered the 19 lots available in the latest land release, signalling a turnaround for Place Victoria’s financial position.
Places Victoria acting CEO Peter Armstrong said the sell out at Dandenong followed a period of solid growth at Places Victoria’s residential estates in Epping and Officer.
“We had to swallow a bitter pill last year, but the decisions made in early 2013 have resulted in a more focused and streamlined organisation that is demonstrating it can be a sustainable business entity,” Mr Armstrong said.
LOGIS is a partnership between Places Victoria and Melbourne Water that will transform the 154 hectare former Dandenong treatment plant site into an industrial estate, generating about 5000 jobs for the Greater Dandenong area.
Mr Armstrong said 25 companies from Australia and overseas had competed for land in stages six and seven at LOGIS, including some who were vying for multiple lots, with successful bidders including Australia’s largest tool distributor Hobson Engineering.
All lots were contracted within a week of their release to the market, for a combined value of $19.5 million.
“Places Victoria’s mandate is to deliver urban renewal projects on behalf of the government and when possible to create opportunities for the private sector,” Mr Armstrong said.
“LOGIS is a perfect example of this – it’s expected to attract more than $480 million in private sector investment by the time it’s finished from a public investment of less than half that.”
Additional lots in stages six and seven at LOGIS will be released to the market early this year, with strong sales expected.
Places Victoria will also see returns in mid-2014 from the $25.05 million sale of the Cardinia Shire Civic Centre at Pakenham.