Deals of the Week - 8th July 2024

Queensland

BRISBANE - $250 million

Global asset manager Brookfield has offloaded an A-grade office tower at 240 Queens Street. 

The office tower was purchased by Quintessential, marking their second major purchase in 12 months, following the $293.1 million acquisition of 1 Margaret Street in Sydney last year. 

On top of the $38 million in upgrades and regeneration that Brookfield had invested into the asset, Quintessential plans to invest a further $31 million in regeneration and sustainability upgrades, including an upgrade of the entrance and lobby area. 

The deal was managed by JLL's Paul Noonan, Seb Turnbull, Kate Low and Jack Sullivan in conjunction with Knight Frank's Justin Bond and Ben Schubert. 

WARBU-BELLMERE - $37.75 million 

Woolworths has sold the recently opened Warbu-Bellmere Shopping Centre to a Melbourne-based private investment group for $37.75 million, setting a benchmark for neighbourhood centre transactions in 2024.

Situated along the Brisbane to Sunshine Coast growth corridor, the 5,164 sqm shopping centre opened in August 2023. Warbu-Bellmere Shopping Centre is underpinned by a 10-year lease to Woolworths, which occupies 71% of the centre’s gross lettable area and serves as the largest full-line supermarket in the main trade area. 

CBRE’s Michael Hedger and Joe Tynan brokered the sale on behalf of Woolworths Group with the sale price reflecting a 5.52% yield.

NAMBOUR - $9.2 million 

An investor has made their first foray into shopping centre investment with the purchase of Nambour Central on the Sunshine Coast. 

The recently refurbished 6,728 sqm shopping centre is anchored by Pets Domain, The Commonwealth Bank and ANZ. The centre was offloaded by PPI Funds Management, with Colliers' Harry Dever and Nick Dowling managing the sales campaign.

Victoria

SOUTH YARRA - Circa $125 million 

GURNER and Qualitas have acquired full ownership of the Jam Factory from fund manager Newmark Capital Limited. 

GURNER and Qualitas initially purchased a 35 per cent ownership of the site in 2021 for $75 million and bought out Newmarks remaining 65 per cent. 

The partnership plans to develop the site into a $2.75 billion mixed-use precinct, including 15,000 sqm of commercial office space, over 20,000 sqm of retail, two hotels, four residential towers and a new cinema complex.

New South Wales

CAMPERDOWN - $7.4 million 

A near-new block of 10 apartments on a 400 sqm block at 1 Sparkes Lane has sold for $7.4 million and was purchased by a private offshore high-net-worth purchaser from Belcorp, with a short settlement in place.  

The fully leased asset, which comprises a mix of one and two-bedroom units with balconies and above-ground parking, was sold following a sales campaign managed by Knight Frank's Demi Carigliano, Anthony Pirrottina and Adam Droubi.  

MERRYLANDS - $7.5 million

A four-level block of 16 strata-titled apartments on a 1,277 sqm site at 5-7 Windsor Road with on-grade parking has sold in one line. 

The property, which is less than 5 years old, holds a current passing income of $457,000, but a potential rental income of more than $484,000.  

The deal was managed by Knight Frank's  Adam Droubi and Jessen O’Sullivan in conjunction with Ray Fayad of Laing & Simmons.