Victoria
TORQUAY - $40.06 million
A refurbished mixed-use complex in Torquay has sold for just over $40 million, after an off-market campaign that culminated in a local private investor purchasing the site from boutique fund manager, IP Generation. The property was purchased on a 5.59% yield, and despite the off-market nature of the sales process, numerous bids were received. The existing 6,096 sqm building is anchored by a lease to sports and lifestyle giant Boardriders, Inc.; additional tenants include Sou'west Brewery, Surf Coast Social, the state government-funded GORCAPA (Great Ocean Road Coast & Parks Authority), and The Bathhouse, amongst others. The site has a long WALE of 12 years.
“Torquay has a tightly confined commercial precinct which is experiencing unprecedented demand from the influx of ‘sea changers’ in response to COVID and flexible working arrangements,” explained Fitzroys’ Paul Burns, who helped negotiate the deal. The purchaser recognised the excellent long-term rental prospects and potential of the site, and the ultra-rare opportunity to gain a foothold in one of Australia’s fastest-growing regions.”
WEST MELBOURNE - $7.288 million
The iconic Witches in Britches theatre restaurant in West Melbourne has sold to the Australian segment of Jinding, after a competitive Expressions of Interest process. According to JLL's Nick Peden, the sales process generated over 150 registered buyers and 6 formal offers, despite a short-term lease for the occupying business and a height limit of 4 levels. “It was an honour to be involved in the sale of such an iconic Melbourne landmark and to achieve a result that the private owner of 27 years richly deserved,” Mr. Peden stated.
The team behind the sale included JLL's Nick Peden, Josh Rutman, Tim Carr, and MingXuan Li, in conjunction with CVA Property Consultants’ Ian Angelico and Jarrod Moran.
SOUTH MELBOURNE - $3.9 million
An office building immediately adjacent to the popular South Melbourne Market has sold, thanks to the efforts of Colliers’ Andrew Ryan, Alex Browne, and Alexander Leggo. Situated atop a 344 sqm parcel of land, the refurbished office building is zoned for Mixed-Use, and features 16 metres of frontage to York Street. With easy access to some of the area's most enviable public transport options, 10-12 York Street has inimitable access to the fringe suburb's best amenities.
Western Australia
PERTH - $339.75 million
Realside Financial Group have teamed up with Lendlease's Real Estate Partners 4 fund to acquire 108 Georges Terrace in Perth's CBD. The 51-storey tower is being purchased from the global asset manager Brookfield, and contains 38,332 sqm of NLA. Complemented by the three-storey, heritage-listed Palace Hotel, 108 Georges Terrace is exposed to all of the best amenities the CBD has to offer.
"This is a great acquisition for the REP4 portfolio,” stated Lendlease's Paul Snushall. "In line with our recent Blue Tower acquisition in Brisbane and Collins Street acquisitions in Melbourne, we’re keen to enhance 108’s ground plane and end-of-trip facilities, along with creating quality fitted suites to deliver a superior product for current and future tenants.”
Queensland
MACKAY - $35.5 million
To bolster the introduction of their new Industrial Income Fund No. 2, Centuria Capital Group has acquired an industrial facility in Mackay that features 13,843 sqm and is currently occupied by Blackwoods, a subsidiary of the ASX-listed Wesfarmers. Positioned at 69-79 Diesel Drive, the property features a ground floor retail showroom, two floors of office space, a distribution warehouse, and a dangerous goods facility. According to Colliers’ Simon Beirne, the property has a net passing income of $2,680,953 (approximately).
According to Centuria's Jason Huljich, 69-79 Diesel Drive fit their investment mandate perfectly. “Centuria continues to seek out strategically located, fit-for-purpose industrial assets that are underpinned by quality tenants on favourable leasing covenants,” Mr. Huljich stated. "The Mackay property ticks all these boxes while also providing a value-add development opportunity, which could potentially extract further returns for our investors.”
HAMILTON – Circa $70 million
Wentworth Equities has divested 19 Hercules Street in Brisbane's north-east suburb of Hamilton, with development and engineering firm Descon Group Australia picking up the 7,880 sqm site. The property has an existing development approval that promises to deliver a three-tower mixed-use precinct that contains over 400 residential apartments and a 4,500 sqm retail and dining precinct. According to Descon Group's Danny Isaac, the site is integral to the redevelopment plans for Northshore Hamilton, and sits in close proximity to the 2032 Olympic Athletes Village. "This site is in the heart of the Games development and will be a fantastic addition to the Brisbane skyline,” he stated.
CLEVELAND – Undisclosed
JLL Hotels & Hospitality Group have helped the Victorian-based Kickon Group acquire one of Queensand's oldest licenced pubs in The Grand View Hotel. Originally known as Cleveland House back in the early 1850s, The Grand View has become a cornerstone of the Redland Bay region, and the new owners intend to revamp the historical venue with a multi-million-dollar refurbishment. "We're looking forward to celebrating the importance of the history of the venue while taking advantage of the magical outdoor space and ocean view. It's going to be really special," stated Kickon Group's Craig Shearer. JLL's Tom Gleeson was responsible for arranging the sale.
New South Wales
RHODES - $160.5 milion
One of the country's most well-renown industrial and office investment trusts, Dexus Industria REIT (DXI), has sold out of 1A and 1C Homebush Bay Drive in New South Wales’ Rhodes, to realise $160.5 million that will be utilised to repay debt. Both buildings are situated in the Sydney Olympic Park, and feature 14,632 sqm and 10,406 sqm in NLA, respectively.
“The sale progresses our strategy of creating Australia’s leading industrial REIT, enhances balance sheet resilience and reduces income risk across the portfolio, and following the anticipated cancellation of surplus debt facilities, the next refinancing event will not be until mid-2024,” explained DXI's Fund Manager, Alex Abell.
BARRABA - $124 million
Thanks to a conjunctional effort from Hart Rural Agencies and Meares & Associates, the historic Plumthorpe Aggregation in northern New South Wales has been offloaded by a consortium which features prominent names like Robert Gascoyne-Cecil, the Siddle family, and former Wallaby Tim Gavin. Whilst the buyer remains undisclosed at this time, Chris Meares from Meares & Associates did confirm that the acquiring party was an already established name in the cattle farming industry. Given the sale features Plumthorpe's 6,300 breeding herd, that experience should come in handy. Mr. Meares ran the campaign with Hart Rural Agencies’ Charlie Hart.
