This article is from the Australian Property Journal archive
SOUTH Australian syndicate Southern Cross Equity has spent nearly $100 million off-market buying mixed-use commercial precinct Darwin Corporate Park and an office building in Brisbane’s south east.
Darwin Corporate Park fetched $78.5 million, representing an initial yield of 5.74%. The A-grade business park boasts a 5.5-star NABERS rating and has 13,700 sqm of net lettable area and an additional 7,800 sqm of development land.
Ryan Stewart of Broadway Property, which managed the transaction, said the quality of the asset, along with the strength of the local Darwin economy enabled an off-market transaction ahead of any major marketing campaigns.
“The asset is positioned in a strategic central location for many businesses, many of which are benefiting from the current infrastructure and industry economic boom in Darwin and includes key tenants such as the Northern Territory Government, Territory Generation, Westpac and Defence Housing Authority,” he said.
Guy Bennett and Peter McVann of Knight Frank were sales agents.
It is one of the biggest commercial property transactions seen in Darwin in recent times, and follows Sentinel Property Group’s mammoth $397 million acquisition of the Casuarina Square shopping centre, believed to be the biggest-ever single Australian property transaction north of Brisbane.
As well, Doug Sallis has this week offloaded the Beachfront Hotel, which was shopped around with an asking price of over $25 million, while the Northern Territory’s only Officeworks has just sold as part of $48 million worth of deals earlier this year, and the Darwin Transit Centre sold last year for $16.25 million.
Meanwhile, Southern Cross Equity has also picked up 1 Miles Platting Road, 15 kilometres from the Brisbane CBD in Eight Mile Plains, for $19.7 million, on a beefy yield of 7.10%.
The building comprises 2,808 sqm of A-grade accommodation with tenants including Finance Brokers of Australia, Mazda and Kings Transport.
Broadway Property and Heath Bedford of HRB & Co acted as buyer’s agents on behalf of Southern Cross Equity with Matt Barker and Blake Goddard of Knight Frank representing the vendor Alceon.
