Amazon to build huge Sydney warehouse
US online commerce juggernaut Amazon is expanding its Australian presence, striking a deal to lease a new warehouse in western Sydney owned by Goodman Group.
Amazon set up its first Australian warehouse in Melbourne last year and is now forging into the NSW capital, taking a 43,000sqm fulfilment centre in the Goodman Centenary Distribution Centre in Moorebank.
CBRE’s industrial and logistics team brokered the deal.
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Amazon will start recruiting for staff across operations, support and technical specialists and the facility is expected to start operations in the second half of 2018.
The expansion comes as the retail sector has been grappling with the trend to online shopping, which puts pressure on retail landlords but is driving demand for industrial property in major urban centres.
Goodman Group has developed space for Amazon in the US and Europe but has previously been tight-lipped on the online commerce giant’s plans for Australia.
“It’s exciting that Amazon has chosen our Centenary Distribution Centre in Moorebank as its Sydney base,” a Goodman spokeswoman says.
“We’re happy to be facilitating its growth in Australia having worked with Amazon globally since 2006, starting in Leipzig Germany.”
Amazon Australia operations director Robert Bruce says the new Sydney warehouse is an important development for the group’s local growth strategy after a “steady and progressive” rise in customer demand.
“This new facility builds on the capabilities of our first centre in Dandenong South, allowing us to continue to fulfil our commitment to fast and reliable deliveries for Australian customers,” Bruce says.
“This investment will benefit both customers and the local economy by generating new jobs and providing small and medium sized Australian businesses who sell on amazon.com.au and use our Fulfilment by Amazon program, with an opportunity to more easily access millions of customers across the country.”
Liverpool mayor Wendy Waller welcomed the facility.
“We look forward to having good jobs for people close to where they live and having a partner involved in the local community,” Waller says.
Amazon is set to launch Amazon Prime in Australia in mid-2018, allowing customers to pay an annual fee and receive free delivery on their orders.
This article originally appeared on www.theaustralian.com.au/property.
