This article is from the Australian Property Journal archive
LOCAL development and investment group PGA Properties has bought a boutique office tower in Brisbane’s Golden Triangle precinct for $53.5 million.
The high exposure corner holding at 410 Queen St, known as the 410Q building, was purchased from RG Property on an initial yield of 5.8%.
With dual frontages on Queen St and Wharf St and exposure to Eagle Street, 410 Queen St has a net lettable area of 5,704 sqm and a weighted average lease of expiry 2.8 years. The building currently has an occupancy rate of 94%. Tenants include the Australian College of Rural & Remote Medicine.
RG Property acquired the building in $28.8 million in late 2011 and repositioned the asset as a boutique A-grade building in the Golden Triangle.
CBRE’s Peter Chapple, Tom Phipps and Jack Morrison sold the property via expressions of interest with Mike Walsh and Peter Court from Cushman & Wakefield.
“Corner holdings in the Golden Triangle are highly-coveted, especially high-quality offerings such as 410 Queen Street,” Chapple said.
“The campaign attracted strong and qualified interest, particularly from new-entrant capital alongside existing CBD owners who have been waiting for a trophy Brisbane CBD asset.”
PGA Property’s Frank Martinez said the group remains acquisitive for high-quality CBD assets across Australia.
“We are attracted to the long-term fundamentals the Brisbane market has to offer and the unique position 410 Queen occupies in the financial precinct of the city.”
Since January 2019 there has been $3.05 billion in transactions in the Brisbane CBD, according to CBRE, marking a 114% increase on the 10-year average.
“Over this time we added considerable value to the property and were able to provide our investors with a solid return on their investment. We see continued growth in the Brisbane market and remain acquisitive.”
