This article is from the Australian Property Journal archive
SILVERSTONE Developments’ Newstead office building has sold in an off-market deal to the John James Memorial Foundation (JFF) on a yield of 5%.
Mike Walsh and Peter Court from Cushman & Wakefield managed the sale of the fully leased four-storey office, which was just completed in December of 2021, for $26 million.
“The sale is further evidence of the well documented thematic of capital seeking secure, a quality-built asset that is well-leased with strong tenure,” said Walsh, director and joint head of middle markets at Cushman & Wakefield.
Located at 11 Commercial Road in Newstead, between the James Street and Gasworks precincts and 1.5km out from the Brisbane CBD, the asset boasts a WALE of seven years, with leases including anchor tenants such as I-Med Radiology who account for 66% of the site’s total NLA of 2,156sqm.
“Combined with the building being brand new and occupying a prime location in Brisbane’s most sought-after mixed-use precinct, JJF moved quickly to secure the opportunity off-market,” added Walsh.
Walsh and Court oversaw the end-to-end transaction, having sold Silverstone Developments the site as a vacant lot back in 2019.
With this transaction marking the latest in $260 million of deals brokered by Cushman & Wakefield Middle Markets for Silverstone Developments in the 18 months, including the $130.7 million Dexus acquisition of a medical centre and carpark in Brisbane’s inner north in June of last year.
“We were very fortunate that the completion of the building worked out perfectly with I-Meds requirement and the team at Blackwatch Projects did an amazing job in tough circumstances to deliver such a quality project right on time,” said Troy Daffy, managing director at Silverstone Developments.
11 Commercial Road was designed by Red Door Architecture and features an open-air rooftop terrace and garden, in addition to an atrium to capitalise on natural light and 22 on-site car parks.
“We were attracted to the quality of the tenants and the amenity the building offers in a prime inner-city location,” added Russell Meacham from JGS Property who acted on behalf of JJF.
