Fund manager Charter Hall and its Dutch PGGM partner has acquired a 1.56ha logistics park in Bowen Hills.
The property, at 66-98 Montpelier Road, 2.5km north-east of Brisbane’s CBD, is currently used for last-mile logistics solutions by tenants Sime Darby, Tradelink, Mine Site Technologies and Corporate House Services.
The dense industrial park, sold on a weighted average lease expiry of 4.4 years, comprises four buildings and 9500sq m of gross lettable area.
It was secured by Charter Hall in an off-market deal through Blue Commercial, reflecting a 4.4 per cent equated yield.
Charter Hall said the site represented an “attractive, land-rich investment” in one of the country’s key last-mile markets and that it had been drawn to the location due to its long-term redevelopment opportunities with mixed-use zoning.
“This Bowen Hills property is a strategic inner brownfield asset surrounded by high quality residential and commercial uses and has potential to be developed into higher and better uses in the medium term,” Charter Hall chief investment officer Sean McMahon said.
“[It] is also well positioned for last mile or multi-level strategies in the future, providing multiple redevelopment scenarios.”
Charter Hall’s recent strategy has been a capital-light approach, working with equity partners such Dutch pension fund giant PGGM or Singaporean sovereign wealth fund GIC to source and manage property assets.
Charter Hall partnered with PGGM in late 2019, initially targeting $800 million in core land rich investments and selective stabilised assets together with brownfield and value-add opportunities.
The Bowen Hills deal now increases the value of Charter Hall’s industrial property partnership with PGGM to $560 million.
The partnership has been actively targeting a combination of core land rich investments and selective stabilised assets together with brownfield and value add opportunities including develop to core strategies since late 2019.
So far, its acquisitions include a prime industrial investment in Melbourne on a 20-year sale-and-leaseback basis for $87 million and the acquisition of a 30ha car distribution centre—with development potential— in Minto, in Sydney’s west.
The $207-million Minto acquisition was bought in a joint venture with another Charter Hall-run vehicle, its $6-billion Charter Hall Prime Industrial Fund.
In the 2020-2021 financial year, Charter Hall’s managed funds rose by $11.7 million to $52.3 billion and, following further acquisitions and asset revaluations, reached $61 billion by December 31.
Article Source: www.theurbandeveloper.com
Barwon secures Princess Alexandra Hospital car park
Barwon Investment Partners has snapped up a multi-level car park and medical centre on a site with significant development upside opposite Princess Alexandra Hospital.
The Woolloongabba asset at 250 Ipswich Road is setting the healthcare focused fund manager back around $95 million, reflecting a circa four per cent net passing yield.
The property contains an eight level, 773-bay garage attached to a two floor wellness centre with 21 tenancies, anchored to Gabba Dermatology, Brisbane Cardiology and Allied Health; the Weighted Average Lease Expiry is nearly seven years.
A pedestrian overpass connects the building to the Princess Alexandra Hospital, also a major teaching campus, employing 6810.
The 5106 sqm block has significant upside – up to 15 storeys based on its zoning, according to JLL’s Seb Turnbull, Elliott O’Shea and Simon Quinn, who marketed the asset with a Blight Rayner scheme.
BIP invests again
Established in 2006, BIP holds a property portfolio worth $2.3 billion.
Its medical related product, much held in a Healthcare Property fund, is priced at about $1.4b as at March, 2022.
Seven months ago, for the trust, the manager paid Forza Capital $34.7m for a South Brisbane medical centre – not far from 250 Ipswich Rd – and two Canberra assets including Belconnen’s Ginninderra Medical & Dental Centre on nearly a hectare.
Also late last year BIP spent $75m for a 12 level St Kilda Rd office majority leased to Alfred Health.
More to come.
Article source: www.realestatesource.com.au
Brisbane’s Office Market Greenlit for Business
Brisbane’s office market continues to shake off the pandemic doldrums with two new commercial towers approved in the CBD and fringe suburbs.
Property owner PGIM and development partner Indema’s plan for a bold adaptive reuse of a 1970s commercial building at 444 Queen Street has won approval.
The bronze 22-storey tower opposite Customs House will be stripped back to its core structure and completely remodelled with a new podium, curtain wall facade and an additional two-storey sculptural canopy.
Indema director Michael Bruderlin said they would be targeting a net zero certification for the building upon completion in the first quarter of 2024.
Article source: www.theurbandeveloper.com
Developer Pitches for $130m Shop-Top Housing on Bayside
Brisbane’s bayside could be going up in the world with plans for $130-million highrise shop-top housing in the heart of the seaside suburb of Wynnum.
Brisbane-based developer Hambros has lodged plans for a 21-storey apartment tower on the vacant lot neighbouring the Wynnum Central Shopping Centre, after winning approval for an small extension to the retail centre late last year.
The development comprises a 6-storey retail and commercial podium, with a 275-apartment tower above, backing on to Wynnum Central Park.
Hambros has reportedly spent about $14 million on revamping the Wynnum Central Shopping Centre on Bay Terrace, as part of a $74-million plan to rejuvenate Wynnum, including cinemas.
According to planning documents lodged with the Brisbane City Council, the tower will be made up of 54 one-bedroom apartments, 148 two-bedroom apartments, and 67 three-bedroom apartments, with six penthouses, which will have private rooftop space and their own pools.
The building height is well in excess of the allowable five to eight storeys in the Wynnum Manly Neighbourhood Plan, but town planners Gateway Survey and Planning argued the plan was “outdated” and should be overhauled.
The six-storey podium would contain two levels of parking, a retail tenancy at ground level, a floor of retail, with two storeys of commercial space for office, healthcare and events space on levels 5 and 6.
In a statement to the council Hambros director Justin Ham said the Wynnum CBD had been left behind “with no development occurring in the last 20 years”.
“Our project is designed to put Wynnum CBD on the ‘open for business’ map,” Ham said.
“This landmark development, with a construction cost estimated at $130 million will have a huge financial and community positive impact on the Wynnum CBD and surrounding areas.
“It’s a once-in-a-lifestime opportunity to create a beautiful space overlooking the best bay in the world.”
Ham said the development would bring much-needed foot traffic to the heart of the Wynnum CBD and help bolster businesses and landowners he said were struggling to remain profitable.
Taiwanese developer Shayher Group won approval for a masterplanned retail precinct at Wynnum Plaza with plans for 184 apartments across eight residential buildings as well as boutique cinemas and increased retail space, reportedly worth more than $100 million.
Work on the Wynnum Plaza redevelopment was due to commence later this year with a completion date hedged for 2024.
Article source: www.theurbandeveloper.com
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