This article is from the Australian Property Journal archive
THE Paolucci Group is offering a prized development site in Perth’s popular Northbridge for sale, with a proposal attached for a three-tower project that would reshape the city fringe precinct.
The 3,271 sqm mixed use site at 189-199 William Street is positioned opposite Perth City Link and the recently opened Yagan Square.
Plans for the site, drawn up by architects Hassell, comprise two 29-storey towers and one 14-storey tower that will include 190 residential apartments, 127 hotel rooms, retail and food and beverage amenity, and public open space.
CBRE’s Aaron Desange and Kate Foley are marketing the site via expressions of interest closing June 28, on behalf of The Paolucci Group, which has owned the property for 12 years.
Currently the site is home to the fully leased Arcade 189,which has ground floor retail and hospitality space. Tenants include Ezra Pound, No Mafia and Taylorweir International School of Hairdressing on the upper level, in addition to an 89-bay Wilson-operated car park. It currently brings an annual income of more than $1.5 million and has a WALE of 3.5 years.
It is a rare offering in the precinct that is not a state government release.
“This is an opportunity to undertake what will be a multi-generational development with long-lasting significance in Perth’s most desirable and fastest evolving urban precinct,” Desange said.
Foley said the opportunity would attract interest from a wide range of buyers, including offshore and domestic developers.
“We anticipate strong interest from Asian groups given the attractive holding income, central location, landmark nature of the site and significant scale of development potential,” she said.
“These offshore groups are highly active in the Perth market, with groups from Singapore, Malaysia and Hong Kong – all having secured landmark development sites already.”
Desange said a number of these groups from Asia are “solely interested in the ability to develop premium sites that are then held generationally”.
He said a number of these offshore parties have access to large amounts of pent-up capital, and are forming joint venture partnerships with local developers to bolster their onshore expertise.
The site’s positioning across from Perth City Link, which will connect the city to Northbridge for the first time in a century, is expected to be drawcard.
Australian Property Journal
