The resurgence of the Brisbane CBD’s North Quarter precinct has ramped up with two office tower deals inked totalling almost $400 million.
Cbus Property has acquired the other 50 per cent stake in 205 North Quay from its joint venture partner MJ Nielson, a company linked with Nielson Properties and Brisbane’s Raniga family.
The purchase price has not been disclosed but it is believed to be about $330 million.
Vertical works have recently started on the riverfront 30-level tower, which will comprise 43,700sq m of A-grade office space fully pre-committed for 10 years to Services Australia.
Designed by architectural firms Hassell, New York-based REX, and Brisbane’s Richards & Spence, it also will include a wellness floor and an 18m open-air public plaza at ground level with retail offerings, signature dining experiences and an auditorium.
Hutchinson Builders broke ground on Brisbane’s newest office tower earlier this year, undertaking bulk excavation works for the basement of the building.
The half stake in the landmark tower project—on a 3000sq m amalgamation of 205 North Quay and 30 Herschel Street—was taken to market late last year by JLL via an expressions of interest campaign.
MJ Nielson’s director, Ross Nielson, said partnering with Cbus Property on 205 North Quay to date had been an “absolute pleasure”.
“We are very happy and very excited for Cbus Property to take over the balance of our project and to take it forward,” he said.
“This will be a tremendous benchmark project, not only for Brisbane, but also for Australia, and we wish Cbus Property all the very best.”
Cbus Property chief executive Adrian Pozzo said the development would be a catalyst for activating the North Quarter, bounding the city’s government precinct with Cbus Property’s 1 William Street office tower.
“Upon completion, 205 North Quay will be an incredibly unique and healthy workplace that will evolve with its users into the future and create a new front door to the city, setting an example for others to follow in this exciting burgeoning precinct,” he said.
“It will be a city-shaping project delivering the workplace of the future and providing a clear benchmark for both economic and environmental sustainability.”
The tower, due for completion in late 2024, is designed to achieve 6 Star Green Star and 5.5 star NABERS ratings.
Up the road, fund manager Aviator Capital has secured the riverside 10-level office tower at 193 North Quay from Kyko Group for about $50 million. The deal was brokered by CBRE.
Comprising 7631sq m of net lettable area, including ground-floor retail tenancies and one level of secure basement parking, the tower is occupied by legal, engineering and technology-based tenants and was acquired with a WALE of 2.8 years by area.
Aviator Capital managing director, Andrew Glen, said the surrounding surge in development had underpinned the company’s interest in the asset, providing a rare opportunity to leverage off public and private expenditure in the precinct.
“193 North Quay marks Aviator Capital’s fifth acquisition in Queensland and first in the Brisbane CBD,” he said.
Glen said the property was also set to benefit from surrounding infrastructure projects, including the redevelopment of the Roma Street Transit Centre into a Cross River Rail station and the proposed Brisbane Live entertainment precinct project.
“We were attracted to the fundamentals of the building as an office asset, as well as the longer term development proposition,” he said.
Article source: www.theurbandeveloper.com