NEW DEVELOPMENTS, DEALS
Deals of the week – 21 October 2019
Posted by Development Ready on Oct 21, 2019

Victoria

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MULGRAVE - $110.9 million
The joint venture between Asia-based real estate platform ESR and Frasers Property has found a buyer for their new eight-level Mulgrave office building, which is set for completion in mid-2020.

The 17,500sqm development, situated at 254 Wellington Road, will serve as the new national headquarters for carmaker Nissan, and was picked up by Singapore property giant Ascendas REIT for close to $111 million.

Suburban office assets have proved a hot commodity, particularly in Melbourne’s south-east, and marks Ascendas’ fourth suburban office property in Australia. The Singapore firm manages a vast portfolio of more than 170 office, industrial and retail assets throughout Singapore, Australia and the UK, with a total worth of around $11.9 billion.

Josh Tebb and Tony Iuliano of JLL and Chris O’Brien and Neva Courts of CBRE negotiated the sale.

DINGLEY - $19.75 million
A large industrial landholding in Melbourne's south-east, formerly belonging to Asia-based logistics platform ESR, has recently been sold on to a private developer for close to $20 million.

The 39,760sq m site, situated at 1-5 Lakeside Drive in Dingley, will now be under the control of HB+B Property; a developer that focuses on industrial, commercial and social infrastructure projects. The freehold site currently comprises of three warehouses with a total NLA of 17,431sqm.

CBRE’s David Aiello, Stephen Adgemis and Lachlan Ferguson handled the sale.

BURWOOD - $6 million~
A developer has splashed out on the 23-room Box Hill Motel in Melbourne's east for around $6 million.

Situated at 177 Station Street, the Burwood hotel remains leased to the hotel operator until May. The building sits on a large 4,041sqm site, with significant residential development potential, and was settled for nearly $2 million above price expectations.

Savills' Nick Peden, Jesse Radisich and Benson Zhou managed the sale in conjunction with Tom Alexiadis of Nelson Alexander.

GARDENVALE - $3.65 million
An undeveloped site in Gardenvale in Melbourne’s south-east has been let go by Coles, returning $3.65 million a private developer. The 1,123sqm commercial site encompasses three titles at 203-207 Nepean Highway.

Knight Frank’s Danny Clark and Ed Wright settled the deal.
 

New South Wales

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MORISSET - $27 million
Local developer and founder of Winarch Capital, Paul Lambess, has recently picked up several industrial properties within Morisset Business Park next to Lake Macquarie.

In a three-part deal, Mr Lambess settled with AFR Rich Listers Bill and Imelda Roche for $27 million – according to market sources. The agreement included all of the Roche’s industrial assets, including a 10,000sqm warehouse position on a DA Approved 70,000sqm block of land, and a warehouse named Morisset Mega Market which caters for factory-discount outlets, fresh produce and a 300-seat food hall.

Morisset sits within the Lake Macquarie district around 120 kilometres north of Sydney.

Mr Lambess was quoted saying that, "I'm a local and I believe in the potential of the area.” It is believed that he will sell the DA-approved land component once the deal had settled, but hold on to the warehouse and look at re-purposing it with the council's approval.

Ben Curran of Colliers International handled the sale.

BURWOOD - $6.9 million
A freehold shop positioned close to Burwood’s commercial centre, has sold successfully at auction for just under $7 million to a private buyer.

Holding address at 99 Burwood Road the sale marks the 170sqm property’s first sale in 35 years.

CI Australia’s Nick Lowry managed the sale.

TAREN POINT - $5.1 million
A 2,314sqm development site belonging to Radiate in Taren Point in Sydney's Sutherland Shire has sold for $5.1 million to private group Alexander Investment Holdings.

The new owners have announced intentions to build a multi-level warehouse with smaller factory units at the property, situated at 60-62 Alexander Avenue.

Colliers International's Trent Gallagher and Edward McFarland handled the sale.
 

Queensland

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BOWEN HILLS - $65.4 million
Brisbane's office market is enjoying a steady recovery after the recent successful transaction of 25 Montpelier Road in Bowen Hills for $65.4 million.

Centuria are responsible for the purchase of the city-fringe commercial building, stating that they have strong expectations for Brisbane office growth to "ramp up in the next six to 12 months".

The A-Grade building offers 7,739sqm of NLA and was sold completely leased with a six-year weighted average lease expiry.

JLL's Seb Turnbull and Luke Billiau handled the deal.

ENOGGERA - $4.6 million
The Enoggera Bowls Sports and Community Club has sold off one of their retail and showroom strata units, part of their redeveloped mixed-use property for $4.6 million. The property was picked up by a local investor, who bought the unit with a seven-year lease to Tradelink for seven years.

Situated at 72 Pickering Street in Brisbane's north, Enoggera Bowls redeveloped the property, creating retail and showroom units as well as a new bowls club, to generate more income for the club following falling club registration numbers.

JLL's Andrew Havig, Elliott O'Shea and Campbell Bowers handled negotiations.

WEST END - $1.85 million
A retail portfolio on the ground floor of a residential tower in Brisbane's Riverside West End has sold for close to $2 million.

The 232sqm property, located at 28 Duncan Street, was sold fully leased to three tenants, with a three-year weighted average lease expiry.

JLL's Andrew Havig and Sam Byrne brokered the deal.
 

Western Australia

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PERTH - $125.5 million~
Ahead of its planned $255 million public listing, ASX-listed Elanor Investors Group has agreed to two separate acquisitions; one at 200 Adelaide Street in Brisbane and one at the A-grade WorkZone commercial building in Perth’s CBD. The fund already owns 51% of the Perth property, which it bought for $125.25 million last year.

Both assets were acquired from Charter Hall.

Including the two new acquisitions, the fund will list with six assets independently valued at $306 million.

Moelis is heading up the listing while Ord Minnett and Shaw and Partners are joint brokers.
 

South Australia

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SALISBURY DOWNS - $12.95 million
A homemaker centre in Adelaide’s north, previously belonging to Moelis Australia Asset Management, has sold to a local private investor for $12.95 million.

The Hollywood Plaza Large Format Retail complex sits on a property of 3.7-hectares at 155 Winzor Street, Salisbury Downs. The offering includes two buildings, with 8,080sqm of NLA and is fully leased to six tenants returning an annual income of $980,000.

The complex offers the new owner future development options with the shopping centre occupying just 22% of the total property.

CBRE’s Justin Dowers, Mark Wizel, Kevin Tong and Michael Fenton handled the deal.



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