18/10/2024

McGees Wrap Up 18th of October 2024

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This week’s Queensland commercial property market saw significant activity across multiple sectors, including office, industrial, retail, and rural properties. Notable transactions include Sentinel Property Group’s $72 million acquisition of RACQ House, record-setting industrial sales in Brisbane’s southern corridor, and strong rural property demand from local graziers.

Retail

Woody Point, QLD

Buyer: Interstate investor

Sale Price: $3.7 million

Property: 542 sqm ground-floor retail space at 14 Oxley Avenue, with 25 car parks and ocean views

Commentary: An iconic beachside retail investment, fully leased to four tenants, was sold for $3.7 million. The property, located in the popular tourist destination of Woody Point, attracted multiple offers through a successful expressions of interest campaign. Generating a net income of $301,856 per annum with a WALE of 3.1 years, the property offers a stable investment opportunity. The prime waterfront location, next to the newly refurbished Belvedere Hotel and Woody Point Jetty, made this investment highly attractive to interstate buyers.

 

Office

Brisbane, QLD

Buyer: Sentinel Property Group

Sale Price: $72 million

Property: 60 Edward Street (RACQ House), a 15-storey, 11,000 sqm office building

Commentary: Purchased with a 9.34% yield, Sentinel Property Group acquired the property below the estimated replacement cost of $152 million, with plans to hold it within its Sentinel 2032 Investment Fund.

 

Eagle Farm, QLD

Tenant: Redback Recruitment Pty Ltd

Lease Details: Two-year lease for 92 sqm office space at 13B/43 Links Avenue, Gateway Executive Park

Rent: $28,000 gross per annum plus GST

Commentary: The office space in Brisbane's eastern suburbs continues to attract tenants with its strategic location and accessibility to the city.

 

Industrial

Coopers Plains, QLD

Buyer: Local landscaping company

Sale Price: $1,690,000

Property: 284 sqm industrial property at 47 Weaver Street

Commentary: The sale set a record for the area, achieving $5,951 per sqm, underscoring the growing demand for industrial space in Brisbane's southern corridor ahead of the 2032 Olympic Games.

 

Caboolture, QLD

Sale Price: $2,937,500

Property: A 4,011 sqm industrial site at 24 Commercial Drive, with a 1,300 sqm workshop

Tenant: Northside Diesel (Truck and 4×4 mechanics)

Lease Details: The lease returns $175,000 per annum

Commentary: The sale of this industrial site north of Brisbane highlights the strong demand for leased assets. Northside Diesel, a truck and 4x4 mechanics business, provides a stable income from its long-term lease.

 

Seventeen Mile Rocks, QLD

Buyer: Private investor

Sale Price: $1.5 million

Property: A freestanding office/warehouse facility located at 16 Sinnamon Road, offering 650 sqm of space on a 1,050 sqm site

Commentary: This rare freestanding industrial facility, featuring a 5-tonne gantry crane, clear-span warehouse, and well-presented office space, was sold with vacant possession. The property, located in the sought-after Seventeen Mile Rocks precinct, offers immediate access to the Centenary Highway and Ipswich Motorway, making it a prime asset for investors or owner-occupiers looking to capitalise on the strong demand for well-located industrial space.

 

Rural

Fairfield Aggregation, Central Queensland

Buyer: Various buyers

Sale Price: Over $150 million total

Properties:

    • Fairfield Station (10,522 ha for $49 million)
    • Kurrajong Park (3,237 ha for $26.1 million)
    • Wongaburra (2,423 ha for $12 million)

Commentary: The sales from the Ray Scott portfolio saw strong interest from local graziers, demonstrating robust demand for premium grazing land in Queensland's cattle industry.

 

These transactions reflect a strong appetite for prime real estate across various sectors in Queensland, from urban office spaces to rural cattle properties.

Queensland continues to attract a diverse range of buyers, from private investors and interstate buyers to local graziers. Transactions reflect strong demand across office, industrial, retail, and rural properties. Standout deals include Sentinel Property Group’s acquisition of a major office building in Brisbane, record-setting sales in Coopers Plains, and the sale of prime rural grazing land in Central Queensland.

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

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