This article is from the Australian Property Journal archive
WOLLONGONG-based family office, Quality Green Group (QGG), has ended the office deal drought in North Ryde with a $38.5 million acquisition. But it is not for the lack of appetite, as this campaign uncovered around $350 million on unsatisfied capital.
QGG has bought 1 Rivett Road, North Ryde. Located within Riverside Corporate, approximately 14kms from the Sydney CBD, the six-storey office is set on a 1.2-hectare site and comprises 8,079 sqm of space. It is fully leased to 3M and two older style buildings which are predominantly used as laboratories, storage and office space, whose main tenant is the Australian Export Grains Innovation Centre.
Its neighbours in Riverside Corporate include CSR, Boral, CSRIO, Energy Australia and Honeywell.
Chris Johnson, CEO of MMJ Real Estate (MMJ), sold the property following an international expressions of interest campaign and there is currently around $300-350 million of unsatisfied capital in the market.
He added that the attractiveness of this location has recently been significantly enhanced by the opening of the new North Ryde metro station, being 300 metres from the property. The new metro line now delivers access to Barangaroo in 14 minutes and only four stops.
Johnson said the EOI attracted interest across Australia as well global investors from New Zealand, Singapore and the Netherlands.
“The campaign resulted in nine expressions of interest being received, which was an excellent result for a property of this size and nature.
“MMJ which has provided asset management services for the last 8 years will continue to manage the property on behalf of QGG,” he added.
The acquisition has ended the office deal drought in North Ryde.
The last time a significant office building transacted within Riverside Corporate, it was all the way back to the sale of 3 Richardson Place for $115 million on a yield of 6.7% in 2021.
Meanwhile the acquisition is QGG’s first property acquisition outside of the Illawarra and adds to QGG’s existing office portfolio which includes Wollongong assets, 280-286 Keira Street, a five-level 7,031 sqm building; 93-99 Burelli Street, a five-storey building comprising 5,770 sqm; and 7-11 Bridge Street, a four-storey building comprising 4,422 sqm.
