Aveo Group, which was deregistered from the ASX in 2019 when it was bought for $1.3 billion by Brookfield Asset Management, has listed a major retirement living community at Loganholme, 30 kilometres south of Brisbane, in the heart of a residential growth corridor.
Constructed in stages between 2008 and 2018 with three connected multi-storey buildings, the former Tanah Merah Village, once known as Tree Tops, is being offered vacant – opening up potential buyers to build to rent investors.
On 2.3 hectares at 3745 Pacific Highway, the property also include a commercial kitchen, community centre and pool; the improvements would cost more than $60 million to replicate, according to CBRE agents Marcello Caspani-Muto, Jimmy Tat, Sandro Peluso, Will Carman and Adelaide O’Brien.
A 6207 square metre undeveloped piece could be subdivided and/or sold down, they added
The listing comes two months since Aveo sold the state government two more vacant Queensland aged care homes – Freedom Bridge Street, in Newtown, a suburb of Toowoomba, and the ex-Freedom Clayfield, in Brisbane’s inner north, banking $20m.
Last week, meanwhile, Adrian Fini and Ben Lisle’s Hesperia purchased a 1.73ha, 84 unit independent living complex and neighbouring (3.77ha) development site, in Perth’s exclusive Nedlands.
That deal, with Regis Healthcare, was worth $53m.
Tanah Merah Village
With 124 large apartments of up to over 80 square metres – the bulk (89) configured with one bedroom, the Tanah Merah could also attract student or NDIS accommodation providers; all units are wheelchair friendly.
The property also includes a covered picnic area (story continues below).
“Tanah Merah Village represents a crescendo in market activity and is undeniably the highest quality vacant asset of its type offered to the vacant investment and owner occupier market in recent history,” Mr Caspani-Muto said.
“The property is suited to a myriad of users across single and multi-use platforms from healthcare and seniors living…to residential accommodation providers,” according to the executive.
Mr Carman added a developer couldn’t build a project of this size, in the current construction environment “assuming you can even find a builder willing to take on this type of development in the Brisbane market, something which is proving incredibly difficult for most developers”.
Residential vacancy in south east Queensland is less than a per cent, Ms O’Brien said.
“[The area] has excellent fundamentals to support the BTR thesis and while there is plenty of capital keen to enter the market, they continue to grapple with the cost of construction,” according to the agent.
The listing comes a month since Pellicano won approval for a $225m asset of this type in Robina, 10 kilometres south of Surfers Paradise
It was also in that Gold Coast suburb US-based Sentinel in March paid c$17m for a 1.44ha block permit-ready for 300 apartments in four complexes.
That buyer plans to retain the asset as a BTR investment.
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