Salta Properties has celebrated the completion of track laying for the rail connection from the Cranbourne line to the boundary of Salta’s Dandenong South Inland Port site. 

 The connection, a $28 million joint investment by the Victorian and Commonwealth Governments links the Dandenong South Inland Port to the Port of Melbourne’s new $125 million Port Rail Transformation Project, allowing port rail shuttles to run to and from Dandenong South to the Port of Melbourne up to five times per day.  

 Salta will invest a further $150 million in land and construction costs to deliver the Dandenong South Inland Port which will extend the rail connection by a further 800m over two tracks directly into Salta’s site 

  The efficient transportation of containers between the Port of Melbourne and Dandenong South aims to deliver a wide range of social, environmental and commercial benefits to all Victorian’s by reducing greenhouse gas emissions, slashing truck movements on suburban and major roads and cutting the cost of landside container transport. 

 Salta Properties, Managing Director, Sam Tarascio said “this rail spur is a critical piece of infrastructure required to connect the Dandenong South Intermodal Terminal which forms part of the Victorian Port Rail Shuttle Network. 

Salta identified a unique opportunity to invest in a future-facing automated terminal that will support the expected growth of the Port of Melbourne, maintaining its status as the county’s largest port by volume

Sam Tarascio, Managing Director Salta Properties

Upon completion, the Dandenong South Inland Port will feature dedicated truck entry and exit points, a container stacking area capable of moving 560,000 TEU per annum, the ability to operate 24 hours a day using word class automated terminal technology, and offer a safer working environment for users, setting a new benchmark in terminal innovation. 

The terminal is situated within Salta’s Nexus Dandenong South industrial estate which is a world-class estate offering a highly desirable location to tenants due to its connections to the city and the Port of Melbourne. 

To date, Salta Properties has invested in excess of $200 million into the industrial estate and will continue to invest to meet the requirements of industrial tenants.  On completion the end value of the estate will exceed $1.5 billion.  Demand for prime industrial space has seen significant growth over the past two years and remains strong ,partly due to the widely publicised impact of COVID-19 on supply chains. 

 The Nexus Dandenong South industrial estate is home to several major users, including Woolworths’ $215 million Melbourne South Regional Distribution Centre, Bunnings Regional Distribution Centre, plus major logistics businesses, Mondiale VGL and Silk Contract Logistics. Capacity still exists within the Nexus industrial estate for additional tenants that could benefit from being located next to the intermodal terminal.   

“We are excited about next stage of construction of Victoria’s first Inland Port at our Dandenong South Estate, and the changes this will deliver to road safety, congestion, and transport costs to the Victorian industry,” concluded Mr Tarascio.  

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Posted 09 September 2022