Perth-Based CTI Logistics Acquires New Warehouse

19 Mar

CTI Logistics, a Australian Stock Exchange listed company handling logistic transport in Perth, has recently been making moves to expand its operations in the land down under.

The Perth-based public company, was established back in 1974, and became ASE listed 13 years later, in 1987. It started out focusing on logistic transport in Perth, before expanding across Western Australia and the rest of the country.

This new acquisition of a new, energy efficient warehouse in Melbourne, for which CTI has already signed a five year lease costing $1.1M annually for, is part of the company’s expansion of its operations, and follows it acquisition of the Victorian and South Australian operations of Melbourne’s Jayde Transport for $7.5M in October of 2017, which is currently being paid. The last million of the payment is scheduled to be given on the 30th of April, 2018.

The new warehouse is located in the suburb of Truganina, according to Knight Frank. The property firm adds that the new facility has a total floor space of 15,227m2,  with an awning 36m in width, 10m in height. The facility also includes a sprinkler system, as well as hardstand area.

The most notable thing about the new warehouse, says Director of Industrial Sales and Leasing for Knight Frank Victoria Joel Davy, is that it was specifically designed to acquire a 5-star Green Star Rating, resulting in a more environmentally-friendly environment boasting improved efficiency, leading to reduced costs for tenants. He says that, recently, tenants have been taking interest in energy efficient infrastructure, probably due t the increased global focus on environment friendliness, or simply because of the constant desire of any company to improve profits.

According to Director Davy, electricity costs are climbing, and since large warehouses such as the one CTI Logistics recently leased operate 24 hours a day, resulting in high-energy costs, which is why tenants are now looking for more efficient alternatives.

Notably, logistics firm Toll Group was the recipient of the National Energy Efficiency Awards’ Best Industrial Energy Efficiency Project award in 2017, following its renovation of its 2.5km conveyor system, showing how logistics firms across Australia are embracing energy efficiency.