This article is from the Australian Property Journal archive
INVESTORS will be opening their cheque books for four prime Brisbane CBD fringe properties have come online, courtesy of The Amelia Group.
DTZ, in conjunction with Jones Lang LaSalle, are marketing the office portfolio via an Expressions of Interest campaign closing August 15.
The four property portfolio comprises three newly refurbished buildings and one yet-to-be-built project and has a combined value of $35-$40 million.
DTZ’s sales and investments executive Peter Court said the properties were well positioned in strategic locations that had been identified by Brisbane City Council as future development precincts allowing for increased heights and greater densities under the Urban Renewal Task Force.
“Newstead, Fortitude Valley and Albion all sit within a five-kilometre radius of the Brisbane CBD and each location provides the security of established infrastructure, as well as further growth potential, with significant development proposed and currently under construction,” he added.
They are located at 73 Amelia Street and 86 Brookes Street, Fortitude Valley; 11 Commercial Road, Newstead; and 20 Hudson Road, Albion.
11 Commercial Road is a modern, stand-alone office building currently fully leased to Cleary Hoare Lawyers on a seven-year term, netting approximately $425,000 per annum. The building comprises a total net lettable area of around 1,000 sqm over two levels, plus 10 car parks.
73 Amelia Street features two street frontages and provides 1,656 sqm of net lettable area. The two-level commercial building is fully leased to Brennan IT on a seven-year term with a seven-year option and includes car parking for 21 vehicles. It is currently achieving a net rental income of $685,000 per annum.
An extensive refurbishment has also been undertaken at 20 Hudson Road, providing contemporary office and showroom space over three levels. The property is currently vacant and comprises 1,752 sqm of net lettable area, 15 undercover car parks and an additional 11 parking bays on grade.
The commercial development at 86 Brookes Street is due to commence construction over the next few months and will comprise approximately 1,290 sqm of floor space over four levels.
JLL’s Ben McGrath said the portfolio represented an excellent opportunity as the Brisbane fringe office market continued to perform strongly, underpinned by the strength of the Queensland economy, strong tenant demand and low vacancy rates.
“Fortitude Valley, Newstead and Albion are highly accessible inner city destinations characterised by their close proximity to key transport nodes, ongoing urban renewal and vibrant character.
“This portfolio presents the opportunity to gain a foothold within these tightly held fringe markets and guarantee both a secure income stream in the short term and major capital growth in the future,” he concluded.
Australian Property Journal
