Detroit Drive Investment Delivers a Strong Multi Cycle Result for Investors
March 2026
Mackersy Property is pleased to share the successful realisation of the Detroit Drive Investment in Rolleston — a long-term industrial asset that has demonstrated the strength of disciplined investment, active management, and the resilience of quality industrial property in a high-growth region.
Originally acquired in December 2012 for $5,000,000 at an 8.15% yield, the near-new industrial facility was underpinned by a national tenant with a long lease and fixed annual rental growth. Throughout the hold period, the property delivered stable monthly income and consistent after-tax returns for investors, supported by strong tenant performance and the continued growth of Rolleston’s industrial precinct.
Following a 12-year lifecycle and following a successful lease renewal negotiation with the tenant Asmuss Steel, the asset has now been sold for $9,850,000, representing a 5.90% capitalisation rate on passing income. The sale reflects both the quality of the underlying asset and the strong positioning of industrial property within the wider commercial market.
Across the full investment cycle, Detroit Drive has provided investors with attractive income, capital uplift, and a compelling total return (IRR) of 20.8% — reinforcing the value of our long-term industrial investment strategy.
This outcome is a clear example of Mackersy Property stewarding investor capital, proactively managing the physical asset and tenant relationships and adding value over time. It is also an example of the benefits of acquiring new or near-new assets with strong fundamentals, managing them through the investment lifecycle, crystallising gains, and reinvesting capital into the next generation of opportunities to drive future income and growth.
Originally acquired in December 2012 for $5,000,000 at an 8.15% yield, the near-new industrial facility was underpinned by a national tenant with a long lease and fixed annual rental growth. Throughout the hold period, the property delivered stable monthly income and consistent after-tax returns for investors, supported by strong tenant performance and the continued growth of Rolleston’s industrial precinct.
Following a 12-year lifecycle and following a successful lease renewal negotiation with the tenant Asmuss Steel, the asset has now been sold for $9,850,000, representing a 5.90% capitalisation rate on passing income. The sale reflects both the quality of the underlying asset and the strong positioning of industrial property within the wider commercial market.
Across the full investment cycle, Detroit Drive has provided investors with attractive income, capital uplift, and a compelling total return (IRR) of 20.8% — reinforcing the value of our long-term industrial investment strategy.
This outcome is a clear example of Mackersy Property stewarding investor capital, proactively managing the physical asset and tenant relationships and adding value over time. It is also an example of the benefits of acquiring new or near-new assets with strong fundamentals, managing them through the investment lifecycle, crystallising gains, and reinvesting capital into the next generation of opportunities to drive future income and growth.