This article is from the Australian Property Journal archive
IN the largest deal ever recorded for Brisbane’s inner city, developer Kokoda Property has snapped up the last remaining riverfront site in exclusive Teneriffe, which it will transform into a $1.75 billion hotel, office, residential and hospitality precinct.
Kokoda is believed to have paid more than $100 million to Riverside Coal Transport Company for the 17,600 sqm site at 17 and 27 Skyring Terrace.
The site includes a 6,000 sqm wet lease and more than 200 metres of direct river frontage.
Kokoda’s vision for the site comprises high-end apartments and townhouses, an office tower, a luxury hotel operated by an international hotel brand, a retail precinct with luxury retail and food and beverage, in addition to a large-scale marina, connecting the expanding Brisbane riverwalk.
Public amenities and the community hub will be upgraded.
Teneriffe Brisbane’s most expensive suburb with a median house price in excess of $2.9 million.
Kokoda Property founder and managing director Mark Stevens said Brisbane is primed for rapid growth and the Skyring Terrace site will play a pivotal role in the revitalisation of the Newstead and Teneriffe Waterfront Neighbourhood Plan.
“This site has been tightly held for nearly four decades and the potential it offers is unparalleled in terms of creating a major mixed-use waterfront development at a scale that is never to be repeated.
“We are incredibly active in Brisbane and expanding our portfolio due to the surging population growth. Queensland has experienced the highest interstate migration growth in the nation and with the 2032 Olympic Games on the horizon, coupled with a buoyant jobs market, Brisbane is primed for a development of this scale.”
Brisbane apartment completions and commencements have fallen to an all-time low, according to Charter Keck Cramer, and the strong population growth forecast, the Brisbane market is expected to remain in short supply relative to demand.
Kokoda completed its first Brisbane project, the $300 million Chester & Ella, less than two years ago, and last month it called for settlements at The Ambrose, a $165 million residential project. Both projects are sold.
Other Brisbane projects include Refinery House, a $12 million transformation to a heritage-listed home, and the newly acquired site on Crombie Street in Milton with a total value of circa $160 million.
Kokoda has $2.5 billion pipeline of projects across both Queensland and Victoria under development. In Melbourne, it is developing the mixed-use, 200-plus apartments precinct Malvern Collective, which is currently 70% sold with construction underway and due for completion Q1 2024.
The Skyring Terrace deal was brokered by Elliot O’Shea and Seb Turnbull of JLL. Prior to Skyring Terrace, the most expensive site to be sold was in West End, which was brokered for $87 million in 2014.
Kokoda Property is currently in the planning and design phase for Skyring Terrace and is hoping to launch an expression of interest campaign in late 2023.
