Goodman signs conditional contract to buy Incitec Pivot’s Gibson Island mega site

ASX-listed property developer Goodman Group has signed off on a conditional contract to buy a 58ha island site on the Brisbane River.

Incitec Pivot’s 58ha property on Gibson Island at Murarrie near the Port of Brisbane.

ASX-listed industrial property developer Goodman Group has struck a conditional contract for almost $200m for the mega site on Gibson Island, currently owned by fertiliser and explosives giant Dyno Nobel, formerly called Incitec Pivot.

The company, which declined to comment, will now undertake due diligence on the site, which is slated to be overhauled as an industrial estate. The move would continue Goodman’s buying spree of high-quality industrial projects even as it also focuses on developing large-scale data centres.

The 58ha Brisbane River site was put on the market in February by the ASX-listed Dyno Nobel – which changed its name at the end of last year.

The site, billed as the “largest industrial land and deepwater wharf for sale on the eastern seaboard”, was marketed by Simon Beirne of Colliers, who declined to comment.

The land sale was revealed on the same Dyno Nobel announced it had offloaded its fertiliser distribution arm to animal feed giant Ridley Corporation for $375m.

Excluded from the acquisition is the remediation costs associated with the Gibson Island manufacturing operations.

Incitec Pivot has sold its Gibson Island property in the Brisbane River.

In a statement to the ASX, Dyno said it had entered into a “conditional contract of sale for the Gibson Island land to a subsidiary of an ASX-listed property developer for gross proceeds of $194m.”

The company announced plans to sell its Gibson Island site, in the suburb of Murarrie, which had been producing fertiliser since 1969, in November last year. The plant closed in January 2023.

The sales listing came as the company announced plans to spin off its fertiliser business and retain its divisions which are involved primarily with explosives.

Broker UBS on Monday put a buy on Goodman saying it had increased confidence around the way the company would fund its roll out of data centres and pointing to its unique growth profile in the Australian real estate investment trust context.

It also pointed to the company’s long term data centre pipeline amid a backdrop of strong expected AI and cloud driven demand growth.