This article is from the Australian Property Journal archive
THE Lend Lease managed APPF Commercial fund and GPT Wholesale Office Fund are selling the landmark Brisbane Transit Centre.
Jones Lang LaSalle Queensland managing director Geoff McIntyre and JLL Hotels Australasia CEO Craig Collins are conducting an international expressions of interest campaign closing Thursday, October 20.
They said it is not often that an asset of the quality and iconic nature of Brisbane Transit Centre and with the immediate and future upside potential is offered to the market.
McIntyre said the Brisbane Transit Centre is a landmark offering, comprising two fully leased commercial office towers with three levels of associated retail, an 812 bay car park and a 4 star hotel, currently trading as a Holiday Inn.
Major occupants include Worley Parsons, Brisbane City Council, Australia Post, Queensland Rail, DHL & State of Queensland.
The asset also includes a major development site which is approved for 70,000 sqm of office accommodation.
McIntyre said this is a landmark property in the burgeoning ‘North Quarter’ precinct of Brisbane’s CBD and provides a quality cash flow with significant development and re-positioning upside potential.
“The building offers a secure income stream providing a Weighted Average Lease Expiry profile of approximately 3.5 years, which sits well when compared to the predicted growth of the Brisbane office market in 2014/15.
“Passing rents within Brisbane Transit Centre reveal a significant number of leases falling below current market rents when compared to similar Brisbane assets,” he added.
Collins said the Holiday Inn features 191 guest rooms, two food and beverage outlets, and extensive conferencing facilities.
“It is currently undergoing an $8 million (approximately) refurbishment and upon completion will present to an international four star standard and offer a number of income upside opportunities.
“The hotel is able to be acquired as a stand-alone asset with vacant possession being available upon settlement, should an incoming owner not wish to continue the existing management agreement with InterContinental Hotels Group,” Collins said.
Australian Property Journal
