26 Ferndell Street as it still appeared in 2024 (Image: Google)
Sydney-based Gateway Capital has purchased an industrial site in western Sydney from US multifamily specialist Greystar for about A$78 million ($55 million), as it bets on demand for high-end logistics properties close to Australia’s major urban centres.
The fund manager acquired the development approved site at 26 Ferndell Street in South Granville with builder already signed up, according to a post on Tuesday on LinkedIn by Tony Iuliano, head of logistics and industrial for Australia and New Zealand at Cushman & Wakefield, with Gateway pointing to the project’s location and clear path to completion as central to its appeal.
“South Granville is strategically positioned within Sydney’s tightly held Central West industrial precinct, one of the city’s most established and land-constrained infill markets,” Gateway said in an emailed statement. The company added that it plans to develop 39,500 square metres (425,000 square feet) of industrial space across three buildings with multiple access points.
Stuart Dawes, who founded Gateway Capital with Peter McDonald in 2021, said he expects the asset will be worth in excess of A$250 million when construction is completed in early 2028. The company has A$1.5 billion of managed assets, with a development pipeline of A$600 million focused on the industrial and logistics sectors.
Shovel-Ready
“This site is shovel-ready. At the moment there is a lot of discussion around inflation on construction prices, so being able to secure a builder and agree the price for the construction and immediately start that construction puts us into a really favourable position,” Dawes told Mingtiandi, referring to rising inflation in Australia.
Gateway chief executive Stuart Dawes
Having a contract and development approval in place saves as much as 24 months of pre-construction work, he said, adding that the contract for construction was signed on a gross maximum price basis.
Gateway is already familiar with the location of the South Granville site, with the plot located just over 10 kilometres (6 miles) north of a 55,000 square metre multilevel project which the company is developing at 61 Milperra Road in Revesby. Gateway said in March that the project was already under construction with beverage maker Refresco having committed to take 25,500 square metres of ground floor space for a 10-year term.
In August 2025, the company launched Gateway Capital Industrial and Logistics Partnership targeting A$800 million in Australian industrial assets and seeded that vehicle by acquiring a warehouse in Sydney’s western outskirts from Blackstone.
Strategic Shift
Greystar had paid A$95 million for the South Granville property in 2022, according to local news reports, as part of a 2022 initiative to develop an A$500 million last-mile and infill logistics strategy in Australia.
In November last year Greystar agreed to sell an industrial site in suburban Brisbane for A$20.2 million and completed construction on a 10,125 square metre project in Yeerongpilly, Queensland in the third quarter of 2025.
The South Carolina-based company is reported to have acquired four sites under its Australian infill logistics strategy during 2022.
In-Fill in Style
Gateway’s infill acquisition places the company in a market segment rapidly gaining favour with institutional investors, with local player Aliro Group having agreed in April to acquire a pair of Sydney infill assets from Goodman Group for A$438 million.
Also last month, Hale Capital Partners, an infill-specialist backed by Warburg Pincus and Canada’s Oxford Properties paid around A$120 million to pick up the Scoresby Industry Park in Melbourne’s eastern suburbs in the city’s biggest industrial deal so far this year.
In March Hale announced that it had raised A$750 million in equity for its second infill logistics vehicle, with Warburg Pincus and Oxford anchoring the round.
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