Centennial is pocketing an impressive capital gain selling a former substation to a developer planning to raze it for two 15 level student accommodation towers.

Brisbane Substation No 1 at 22-26 Constance Street, Fortitude Valley, collected $14.575 million including GST from Arklife after a campaign launched in August.

An application was lodged two months prior to settlement, in March, for two towers containing 312-rooms (122 in what will be known as Building 1 and 190 in Building 2) and an enclosed pedestrian laneway connecting to Ballow St.

The proposal also includes a ground floor with a commercial kitchen and lounge, gym, co-work spaces, a shop and food and drink outlet (likely a café, bar or restaurant).

The rooftop will be activated too.

No heritage overlay

On 1539 square metres zone PC1, 22-26 Constance St is not heritage protected; it has been code assessable for up to 15 floors, for years (continues below).

Centennial paid $9m in 2019; it was the first time the property had been offered in two decades.

The building, with 2573 sqm of A-grade area, had just undergone a $250,000 revamp.

The Little Pub Group had also just signed a five year lease for a ground floor space.

Rothelowman penned the replacement.

MP Commercial’s Mike Walsh and Peter Court with Chesters Real Estate’s Tim Jones represented Centennial.

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Castlerock Property has kicked off construction on a purpose-built government service centre after securing a long-term pre-commitment.

The developer is delivering the 1486 square metre facility at 72 Wotton Street, Aitkenvale, about eight kilometres south west of Townsville’s CBD, following a federal government led expression of interest campaign then request for proposal.

Upon completion late next year, the building will accommodate a customer support office.

The project is being developed on amalgamated sites within Aitkenvale’s commercial precinct, close to the agency’s existing Townsville base, walking distance to Stockland Townsville.

It continues Castlerock’s exposure to in government-leased property, which it has targeted through acquisitions and developments.

In 2020 the group bought the state governments’ ‘North Queensland headquarters’ at 445 Flinders St, known as the Verde Tower, Townsville, for $92.9m.

The Aitkenvale project is targeting a 5.5-star NABERS Energy rating and carbon-neutral base building certification (continues below).

Plans also include a 99kW solar array and electric vehicle charging infrastructure.

Completion is scheduled in December.

It is expected to be held in the Castlerock Government Property Fund.

The asset manager and developer recently completed construction of a Frankston, Melbourne, office – also for that trust.

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Centuria has listed two east coast life science investments with almost a decade of contracted income.

In the Monash National Employment and Innovation Cluster – Victoria’s largest employment hub outside of Melbourne’s CBD – the asset manager is offering the laboratory and headquarters of ASX-listed Paragon Care.

On 1.52 hectares at 77-97 Ricketts Road, also abutting the Monash Freeway for 139 metres, the asset includes 7975 square metres in several attached buildings, upgraded in mid-2022.

The warehouse, accessed by 10 roller shutter doors, has a large power supply and crane provision.

There are also 129 car parks.

Paragon occupies 91 per cent on a lease expiring in 2037.

Mount Waverley is about 16 kilometres south east of the CBD.

Sprawling Brisbane site

In Brisbane, Centuria has listed a purpose-built laboratory and research facility fully leased to QML Pathology, which also occupies an office component as its headquarters (continues below).

With two buildings, 11-19 Riverview Place, Murarrie, part of the Metroplex Gateway Estate, contains 9696 sqm.

Across two amalgamated sites spanning 2.38ha, also exposed to Metroplex Avenue, there are 280 car parks too.

The weighted average lease expiry is 9.2 years with a mid-term review at the end of 2030.

Murarrie is eight kilometres east of the CBD, within the Australia TradeCoast precinct, near the Port of Brisbane and Brisbane Airport.

Centuria holds both properties in the c$820m Healthcare Property Fund.

CBRE’s Sandro Peluso and Chris O’Brien with JLL’s Ben Hegerty and Simon Quinn are the agents.

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A prominent block, vacant since the start of construction of the Gold Coast light rail project 16 years ago, is being released by the Crisafulli government as it moves to unlock under-utilised state-owned sites for housing.

The 5420 square metre parcel on Scarborough Street, Southport, opposite the Southport Priority Development Area, is expected to accommodate a mixed-use project with c300 apartments.

The state this week called for private sector proposals.

Releasing under-utilised and redundant sites was a pledge by the Liberal National Party ahead of its decisive 2024 election win.

Last October it appointed a developer for a $100m mixed-use project containing 27 dwellings, an 18-berth marina and food and drink precinct at The Spit.

Another Scarborough Street project

The Scarborough St holding was acquired and cleared during construction of the original G: Link light rail route, which opened in 2014.

It is also walking distance to Griffith University and the Gold Coast Health and Knowledge Precinct with the Gold Coast University Hospital and near Carey Park, the proposed site of the Gold Coast Arena indoor entertainment venue

Under the campaign, developers are invited to deliver a residential-based mixed-use project (continues below).

Elsewhere in the street – at #5-9 – the state’s Department of Housing and Public Works is building a 26 level public housing complex with 200 dwellings.

Canford is also marketing a block beside that (#13) – permit ready for two towers, the tallest, 66 levels.

Another Southport sale

The listing comes six months since realestatesource.com.au reported Strada Group, led by Scott Barlow and the major owner of Sydney Football Club, banked $44.7m for a Southport office on 4773 sqm in the Southbank Priority Development Area.

Also recently in the suburb, Autosport Group Limited bought an 8785 sqm parcel for a Mercedes-Benz dealership while the office and studio home to radio station Hot Tomato 102.9 traded between investors.

Southport is about seven kilometres north of Surfers Paradise.

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Modscape has committed to a larger Queensland manufacturing facility.

The modular building manufacturer and sister company Modbotics has committed to a 20,918 square metre complex within the Vantage Yatala estate at Stapylton, about half way between Brisbane and the Gold Coast.

The initial lease term is 15 years.

Frasers Property Industrial will deliver it.

With the deal, 85 per cent of the 65 hectare Yatala estate is leased.

Modscape is already a tenant-client having moved into a 12,868 sqm complex at Archerfield in 2024.

The group deals in residential, commercial, education and healthcare sectors.

Modscape signs lease deal

The Yatala facility will be for manufacturing, storage and distribution, with heavy duty load bearing floors capable of accommodating specialised robotics (continues below).

FPI Queensland general manager Troy Whalan said industrial facilities were increasingly being designed to accommodate sophisticated production operations.

“Industrial facilities are increasingly supporting sophisticated manufacturing and production operations, requiring specialised building design and infrastructure,” he added.

Modscape and Modbotics chief executive, director and co-founder, Jan Gyrn, described the project as a significant step in the company’s Queensland growth strategy.

“This facility marks an important milestone for Modscape + Modbotics and reflects our ongoing commitment to Queensland, which has been central to our growth,” he added.

“Vantage Yatala gives us the scale, flexibility and strategic location to meet rising customer demand while continuing to deliver innovative, sustainable modular construction across Australia,” according to the executive.

The deal comes three years since realestatesource.com.au reported the group upsized its accommodation in Melbourne – where it is headquartered – to a 37,500 sqm facility at Essendon Fields (20,000 sqm being undercover and 6000 sqm for Modbotics).

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Goodman Group and its largest property fund are spending about $2.65 billion to acquire interests in industrial property partnerships held by Brickworks.

The deal follows Washington H. Soul Pattinson & Company’s acquisition of the building products giant in September 2025.

Goodman Australia Industrial Partnership, or GAIP, will pay $2.3b.

Goodman will contribute the balance (c$350m).

Settlement is scheduled this month.

BGAI, Oakdale West Trust

The deal includes Brickworks’ 50 per cent interest in the Brickworks Goodman Australia Industrial (BGAI) partnership.

It also includes a half stake in the Oakdale West Trust.

Following settlement, GAIP’s ownership of BGAI increases to 100pc and its holding in Oakdale West to 90pc.

Goodman will hold the balance (10pc) of Oakdale West.

Oakdale East Trust

Separately, Goodman Group is acquiring Brickworks’ remaining 50pc interest in the Oakdale East Trust, which contains development land and projects under construction.

The interests (BGAI, Oakdale West, Oakdale East) form part of an industrial and logistics portfolio established through a Goodman-Brickworks partnership launched in 2005 (continues below).

The assets, predominantly in Sydney, contain approximately 1.3 million square metres of gross lettable area and carry a value exceeding $5b.

Key holdings include the Oakdale Industrial Estate and Erskine Park’s Interlink Distribution Centre (pictured, top) precincts in Western Sydney.

The portfolio also contains the Rochedale Motorway Estate in Brisbane.

Fund grows

GAIP – in which Goodman holds a 30.4pc stake – owns approximately 115 properties.

Following the acquisition, its gross asset value is expected to increase to about $20b.

Chief executive Jason Little said Goodman had managed the assets with Brickworks for many years.

“We know these assets well and have managed them alongside Brickworks for many years,” he added.

“As part of our asset recycling strategy, the transaction demonstrates our ability to redeploy capital into opportunities that support long-term customer demand, while increasing our interest in high-quality assets that are already well integrated into our portfolio,” according to the executive.

The Brickworks Manufacturing Trust is not affected by the transaction and will continue operating under the existing Goodman-Brickworks partnership structure.

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Computershare co-founder Chris Morris has secured another high-profile tourism asset.

The Computershare co-founder has signed a long-term lease for Double Island, off Palm Cove near Cairns, following a state government expression of interest campaign.

Spanning 17.8 hectares, sitting largely dormant for over a decade after a once exclusive resort fell into disrepair. The lease was held by interests associated with Hong Kong businessman Benny Wu before being revoked in 2024 for non-compliance.

The deal expands Mr Morris’ tourism portfolio, which already includes Mount Mulligan Lodge near Cairns, Orpheus Island and Pelorus Private Island off the north Queensland coast and Townsville’s Ville Resort-Casino and Ardo hotel.

Last year the executive was in a high-profile competition with Iris Capital’s Sam Arnaout for Cairns’ Reef Hotel Casino.

This week, realestatesource.com.au reported Mr Morris, via Morris Group, sold the Julatten Hotel, west of Port Douglas, after a renovation (continues below).

Double Island

Once known as a celebrity retreat, Double Island is about 1.5 kilometres off the coast.

Morris Group is planning to raze the improvements as part of a four-stage, $40 million redevelopment including a public beachfront precinct, beach bar, restaurant and luxury hotel, to be named Double Island Lodge.

A pontoon, 24 luxury villas and helicopter landing facility is also expected to form part of the design. The development pipeline is four years.

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A private specialist school has secured its future after the Liberal National Party government resolved a lease issue left by Labor.

The Sycamore School will continue at the TAFE Queensland Alexandra Hills campus under a 25 year agreement with a five year option.

Established as Brisbane’s first dedicated school for autistic children, with Prep-10 classes, it has 100 students.

Some parents travel 50 kilometres one-way because of the strong educational outcomes, focus on student wellbeing – and lack of options.

Despite pressure from the school community, the former government refused to renew the lease at the TAFE – due to expire last October – ahead of the last election.

The college was founded by Cindy and Cameron Corrie.

School future secured

The Crisafulli government rolled Sycamore onto a temporary lease while a new rental agreement was negotiated.

“It’s staggering that Labor would leave such a vital part of the community facing such a dire future,” minister for Finance, Trade, Employment and Training, Ros Bates, said.

“The former Labor government left the school on the chopping block by failing to renew its lease, which was due to expire in October 2025,” she added (continues below).

“Securing the school’s future will allow administrators to apply for capital grants which are vital to its ability to continue operating,” according to the minister.

Seven more schools planned

Ms Corrie, also Sycamore School Board chair, said the lease will allow the school “to shape an ambitious future to support the autistic community”. 

“The 30-year lease is a defining moment,” she added.

“It provides the long-term security needed to plan responsibly, invest wisely, and ensure the school continues to serve autistic young people for generations to come,” according to the Ms Corrie.

“This lease gives us the confidence to plan, invest, and grow with purpose and it means our children have a place where they truly belong.” 

Also last week, the government committed to building seven specialist schools in the state.

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Frasers Property Australia has paid a speculated $350 million for two east coast housing estate sites.

In Victoria, the group has picked up a 60.1 hectare parcel at Charlemont, 10 kilometres south of Geelong, with plans for about 720 homes.

With a Torquay Road address, the project will also include a neighbourhood activity centre, community facility and park.

The development timeline is five years starting next year.

The block is speculated to be costing $180m.

Charlemont is in the Armstrong Creek growth corridor about 10 kilometres south of Geelong’s CBD.

Major Gold Coast project

Meanwhile FPA has settled on the c$170m purchase of the elevated 334ha SkyRidge estate, at Worongary on the Gold Coast.

Perron Group offered this property last year.

It is approved for a c3500 lot subdivision (continues below).

The Singapore based group is instead aiming for c3000 lots and a neighbourhood shopping centre.

It expects to develop this housing estate in stages until 2040.

Worongary is about 13 kilometres south west of Surfers Paradise.

Frasers reweighs portfolio

Frasers Property Australia chief executive officer, Cameron Leggatt, said is armed with proceeds from several recent divestments.

“The successful execution of the sales of the WeAreLiving Brunswick Build-to-Rent project, Eastern Creek Quarter (for $400m) and Burwood Brickworks ($107.25m) has enabled us to recycle capital into these new opportunities,” according to the executive.

Executive general manager, Development, Emily Wood, added the company was continuing to seek further opportunities to expand its residential pipeline.

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MPG Funds Management has quietly sold a Bunnings backed investment after a decade.

The 2.35 hectare store at the corner of Brisbane and Mining streets, Bundamba, collected just over $50 million from a private investor, also based in Melbourne.

The hardware giant is on a lease expiring with 2039 or, with options, in 2060, for the 14,228 square metre warehouse.

The lease also sees rent rise three per cent a year.

MPG paid $32.4m.

CBRE’s Joe Tynan and Michael Hedger with JLL’s Ned McKendry, Jacob Swan and Stuart Taylor were the agents.

“The Bundamba store occupies a prominent corner position within Ipswich’s eastern industrial and retail corridor, servicing one of south-east Queensland’s fastest-growing population catchments,” they said.

Bundamba is about 35 kilometres south west of Brisbane’s CBD and six kilometres east of Ipswich (continues below).

Another Bunnings sale

The deal comes five months since we reported the Schiavello family paid $49.5m for the Bunnings Epping store, in Melbourne.

David Feldman was that seller.

He outlaid $36.3m in 2015.

Also recently, the Schiavello family paid $44m for the Bunnings Clyde North store – also in Melbourne.

Charter Hall was that vendor having paid $42.3m in 2020 with a 12 year leaseback.

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