Leasing keeps the asset and gives you ongoing rental income plus any future capital growth, while selling converts the property into cash now. The right choice depends on your need for capital, your tolerance for landlord duties, current vacancy rates in Williams Landing, and whether you want to hold long term as an investment.
Williams Landing has grown into one of the more sought after industrial pockets in the west, sitting close to the Princes Freeway and the Ring Road with good access for freight and logistics tenants. That location advantage is exactly why leasing is worth a proper look before you default to selling.
What leasing actually locks you into
A lease is not passive income from day one. You become responsible for a tenant relationship, a set of legal obligations, and ongoing decisions about maintenance, insurance, and outgoings recovery. Depending on the lease structure, you may carry capital costs like roof repairs or structural works even if the tenant covers day to day upkeep.
The length of the lease term matters too. A longer lease with a strong tenant covenant can make the property more attractive to a future buyer, but it also reduces your flexibility if your own circumstances change and you need to sell with vacant possession.
Leasing trades a lump sum today for income and responsibility over the term of the lease.
The financial trade off between renting and selling
Selling gives you a known number on settlement day. Leasing gives you a return that plays out over years, offset against holding costs like land tax, insurance, and any vacancy periods between tenants. Whether leasing wins out financially depends on the rental yield you can achieve against the property's value, and on what you would do with sale proceeds if you sold instead.
It is worth running both scenarios side by side with your accountant, factoring in depreciation, land tax thresholds, and how a sale might affect your broader financial position.
What's happening in the Williams Landing market
Demand for warehouse and industrial space in the west has held up well given the suburb's freeway access and its position within the growing western industrial corridor. Vacancy for well located, well configured industrial stock in Williams Landing has generally stayed tighter than older, less accessible pockets further out.
That tenant demand is a big part of why leasing can make sense here. A quality building in a well connected location tends to attract solid tenants at reasonable rents, which supports the case for holding rather than selling.
A strong location does more of the work than people expect when it comes to filling a lease.
Mistakes owners make when choosing between leasing and selling
Common questions
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Fairmont only sells and leases industrial property across Melbourne's western corridor and Geelong. That focus is deliberate. It means we know the buyers who are active right now and what they are prepared to pay.