Exceed Capital is buying an Adelaide CBD office which has just undergone a $10.7 million refurbishment.

The 16-level building at 26 Flinders Street is earmarked for a single asset fund this week being marketed to wholesale investors.

Corval was the seller.

It paid $36m in 2018.

A renovation completed last year upgraded the mechanical services, lifts, bathrooms, lobby and end-of-trip facilities.

With 10,217 square metres, it is 91 per cent occupied; tenants including Aussie Broadband, Samsung Electronics, Employers Mutual Management, Kelsian, BlueScope Steel, JCDecaux and Angas Securities – the latter which has signage rights.

The sale price will be revealed but based on the passing net income ($3.88m), a deal struck at a 7.5 per cent yield implies a value of c$51.7m.

At 8.5pc it would be worth c$45.6m.

CBRE’s Ian Thomas and Alistair Laycock with Knight Frank’s Max Frohlich and Ryan Mills were the agents.

Refurbishment realised

The office occupies 1645 sqm overlooking Victoria Square.

A rear plaza can be built on.

It also contains 68 basement car parks (continues below).

There are 24 tenant clients with staggered lease expiries.

Almost 40pc of occupiers are listed companies.

The balance are established organisations.

Corval acquired the asset when it was about 80pc occupied with a weighted average lease expiry of 3.2 years.

Brisbane manager backs Adelaide again

Exceed is forecasting investors an average cash return exceeding eight per cent a year over a five-year term.

The deal comes nearly two years since realestatesource.com.au reported the Brisbane-based fund manager bought 19 Grenfell St in the city, following an off-market deal with Shakespeare Property Group.

That property cost $25.5m, also for a fund.

With 10,530 sqm over 19 floors, it was 48pc vacant.

Coincidentally Mr Frohlich and Mr Mills brokered that deal too.

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A South Australia Police backed industrial investment has traded following an off-market deal.

Pep Rocca’s funds management division Curated Capital has paid $21.5 million for 5 Talisman Avenue, Edwardstown (pictured, top) – the Southern Metropolitan Impound yard.

MA Financial was the seller.

It paid $21.15m in mid-2022.

The divestment was brokered off-market.

The result reflects a 4.74 per cent net passing yield.

Knight Frank’s Max Frohlich and Ryan Mills were the agents.

The deal comes three months since realestatesource.com.,au reported Curated Capital sold an Adelaide CBD office and adjoining 140-bay car park.

Low yield

On a 1.57 hectare island site off South Road, 5 Talisman Ave contains a 9856 square metre office/warehouse.

The state government, through SAPOL, pays $1.02m annual net rent – said to be about 35 per cent below the market rate.

“Our strategy is straightforward: we intend to extend SAPOL’s tenancy and hold the underlying land,” Curated Capital director, Alessio Roscio, said.

“Island sites this close to the CBD rarely come to market, and in a tight infill precinct like Edwardstown, land of this scale simply isn’t being replaced,” he added (continues below).

“We’re comfortable taking a patient, long-term view on the real estate while the government tenancy continues to underpin the holding,” according to the executive.

Underlying land value

Edwardstown is eight kilometres south of Adelaide’s CBD.

“The property offers a rare combination of scale, underlying land value and security of income, with a secure government covenant, fixed annual rental growth and meaningful rental reversion,” Mr Frohlich said.

“Assets with these attributes are increasingly difficult to replicate, and capital is responding accordingly,” according to the executive.

Mr Mills added Adelaide’s industrial market continued to record low vacancy, with conditions particularly tight in the inner south.

“Conditions are incrementally tighter in the inner south submarket, where constrained supply continues to meet strong occupier demand, and incentives remain the lowest of the major capitals nationally, supporting continued rental growth across key precincts,” he said.

“The inner south has seen some of the strongest growth in land values in Adelaide’s industrial market,” he added.

“The supply side of the precinct has also shifted structurally….the $15.4 billion River Torrens to Darlington Project, the largest infrastructure undertaking in South Australia’s history, has required the acquisition of more than 500 properties along the South Road corridor, permanently withdrawing land from the market and displacing occupiers into an already tightly held precinct,” according to the executive.

“Infill locations such as Edwardstown are particularly sought after, given their proximity to the CBD, access to major transport corridors and limited availability of comparable assets”.

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The Shahin family has expanded its agricultural interests, acquiring Australia’s largest contiguous sheep station from pastoral dynasty Jumbuck as the MacLachlan family continues the restructure its 138-year-old grazing empire.

Via the Adelaide-based family’s private investment vehicle, ATAYF Group, it is speculated to be paying around $40 million for the 1.29 million-hectare Jumbuck North West Pastoral Aggregation in South Australia’s Far North.

Comprising Bulgunnia, Commonwealth Hill and Mobella stations, at Kingoonya, it carries a Merino flock of about 53,333 head, including 37,547 breeding ewes.

The dry sheep equivalent is 83,300.

The average rainfall is 150-180mm a year.

The MacLachlan family offered it in May on a walk-in-walk-out basis.

“Sophisticated investors continue to have strong conviction in the long-term future of Australian food and fibre production,” Elders Tom Russo, who brokered the deal with Philip Keen, said.

“Global demand for our products will continue to grow as middle classes expand and prosper. Investing now to participate in the supply response is an enormous opportunity,” he added.

“The successful sale of the…Jumbuck North West Pastoral Aggregation…reinforces the enduring appeal of large-scale, high-quality agricultural assets,” according to the executive.

“I’m pleased to see the stewardship of these iconic properties pass from one highly respected South Australian family to another.

“The MacLachlan family’s legacy of pastoral excellence will continue under owners with a similarly long-term vision and passion for agriculture” (continues below).

Kingoonya is about 640 kilometres north-west of Adelaide.

End of a 138-year era

The sale forms part of a succession plan unveiled earlier this year by the MacLachlan family which has owned Jumbuck since 1888.

Rather than selling the business, the family is dividing its pastoral holdings among the next generation.

Bulgunnia, Commonwealth Hill and Mobella were earmarked for divestment while other stations remain – including Blina, Glen Devon Gunbar and Mulgathing – within separate family-controlled enterprises.

The transaction marks a rare transfer of a major pastoral holding between two prominent South Australian business families.

The acquisition adds to Professor Khalil (Charlie) Shahin’s growing rural portfolio following last year’s purchase of Aileron Station in the Northern Territory.

It also marks another major deployment of capital after the Shahin family’s sale of the OTR convenience retail business to Viva Energy in 2024, a deal initially valued at $1.15 billion rising to $1.215b after adjustments, reflecting business growth/new stores between signing and completion.

Also today we are reporting the Shahin family banked $12.1 million from a new Sydney service station.

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Three major convenience retail investments have changed hands in recent weeks for a combined $25.9 million.

In the priciest deal, the Shahin family’s Peregrine Corporation has sold an OTR/Viva Energy-backed service station at 306 Wianamatta Parkway, Ropes Crossing, in Sydney’s outer west (pictured, top).

The new asset, including a car wash and permitted to trade 24-hours, collected $12.06 million – a 5.7 per cent net passing yield.

The initial lease expires in 2041.

With options, OTR can stay until 2076.

CBRE’s Rick Jacobson, Raoul Holderhead, Sam Mercuri and Yosh Mendis were the agents.

The Shahin family sold the OTR operating business to Viva Energy for $1.15 billion in 2024, rising to about $1.22b after completion adjustments, but retained much of the underlying freehold property portfolio, from which it continues to selectively divest assets

Also today, realestatesource.com.au is reporting the family’s acquisition of Jumbuck’s 1.29 million hectare North West Pastoral Aggregation from the MacLachlan family.

Inner-city Adelaide servo

Meanwhile a BP at 80-94 Goodwood Road, Goodwood, opposite Royal Adelaide Showgrounds, has sold for $7.175m.

The three-year-old complex occupies 2630 sqm at the south-west corner of Leader Street (continues below).

The off-market result reflects a 5.17pc yield.

CBRE’s Rhyce Scott was the agent.

Goodwood is about two kilometres south-west of Adelaide’s CBD.

Corner Melbourne asset fetches $6.9m

In Melbourne’s Doreen, a United Petroleum-backed asset, also with a noodle bar and chicken shop, traded for $6.9m.

The relatively high yield – 6.7pc – reflects the short weighted average lease expiry of 1.73 years.

The 2820 sqm holding, 950 Bridge Inn Road on the south-west corner of Yan Yean Road, is zoned Mixed Use.

JLL’s Romanor Falconer and Dominic McGrath were the agents.

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Australia Post has broken ground on its biggest investment in South Australia – a $500 million parcel super hub, at Adelaide’s former Holden manufacturing site, in Elizabeth.

The 83,000 square metre facility is expected to process up to 400,000 parcels a day – about double the capacity of the operator’s existing Adelaide Airport hub.

It will also become the first complex of its type to combine Australia Post and StarTrack operations under one roof.

Pelligra Group is the developer and landlord.

It is scheduled to open in late 2028.

The development comes three months since realestatesource.com.au reported Australia Post opened its largest air and parcel facility in Brisbane earlier this year – with 78,000 sqm.

The government-owned owned business has also recently listed a $400 million portfolio of distribution centres with leasebacks (continues below).

Adelaide hub

The Adelaide hub will incorporate automated sortation technology, autonomous vehicles and robotic pallet movers designed to reduce manual handling and lift processing capacity.

Australia Post executive general manager network operations Shane Plant said the facility would become the benchmark for the organisation’s future logistics assets.

“This facility will be the blueprint for our most technically advanced facilities, providing greater opportunities for team members to upskill technically, operationally and digitally,” he added.

Elizabeth is 25 kilometres north of Adelaide’s CBD.

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Paul Lederer’s LDR Capital has sold another asset from the former Elanor Commercial Property Fund after taking control of the listed vehicle in February.

The manager has banked $30 million for 196 O G Road, Felixstow, about six kilometres north-east of Adelaide’s CBD.

The deal with a private investor reflects a 9.6 per cent net passing yield.

Settlement is scheduled in September.

Elanor, which recently rebranded to Kyron Capital, paid Centennial $35m in 2018 – a 7.9pc yield.

In the red

On 1.224 hectares, the Felixstow property contains a two level, 6288 square metre office built in 2002, extensively refurbished in 2015.

The NABERS Energy rating is 4.5 star.

DXC Technology – formed in 2017 when CSC and Hewlett Packard Enterprise’s Enterprise Services merged – is on a lease expiring in 2030 when it will be presented with a five year option. Also with substantial parking, some undercover, the complex is branded Campus DXC.

The asset holds development upside, within a Housing Diversity Neighbourhood zone, allowing up to three levels.

It has also been identified in the Greater Adelaide Regional Plan as a State Significant Infill area; it sold in 2013 by the Urban Renewal Authority (continues below).

CBRE’s Ian Thomas and Alistair Laycock with JLL’s Ben Parkinson, Jack O’Leary and Tim Mutton were the agents (continues below).

Sell down continues

LDR renamed the Elanor the LDR Capital Property Fund.

The Felixstow property, at the corner of Payneham Rd, is the fourth it has divested – generating about $106m cash.

The combined proceeds reflect a 9.6pc discount to the fund’s December, 2025, valuations.

“This transaction marks another important milestone in the execution of our strategy,” Mr Lederer said in an announcement yesterday.

“Importantly, we’ve done exactly what we said we would do,” according to the executive.

“Since assuming management of LED, we have remained focused on disciplined execution and delivering on the commitments we made to securityholders,” he added.

“We have acted decisively to reshape the portfolio”.

Last month realestatesource.com.au reported Mr Lederer bought the office component of Adelaide’s Market Square project for c$200m.

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The Roche family has sold one of Adelaide’s largest remaining coastal residential development sites.

Brisbane-based Urbex, the property development arm of the Power family’s BMD Group, is the buyer of Lot 4102 Burlington Road Hallett Cove, for more than $45 million.

The 11.99 hectare holding is bounded by Burlington and Sigma roads, and Fairbairn Drive, near the Adelaide desalination plant, came permit-ready for a 169-lot subdivision.

Low density residential parcels are between 194-1012 square metres.

Two super-lots are able to yield high density.

McGees Property’s James Juers and Simon Lambert were the agents.

The transaction continues the Roche family’s broader divestment of property assets; recent sales include a heritage-listed Rundle Mall building and a large Encounter Bay holding. as it restructures its property portfolio.

The deal comes four months since Urbex acquired a 3.71ha site at Sellicks Beach, where it is planning a project expected to deliver about 65 homesites.

Approved coastal pipeline

The General Neighbourhood-zoned Hallett Cove site connects with the Hallett Cove Headland Reserve and Coastal Walkway, about 175 metres from the coastline.

It is also near Hallett Cove Beach Railway Station, Hallett Cove Shopping Centre and established southern Adelaide amenities.

“The site’s stunning coastal location and shovel-ready status made for an unrepeatable opportunity to deliver a flagship community in one of Adelaide’s most desirable southern locations,” Mr Juers said (continues below).

“We received significant interest from local, national and international markets, ranging from residential developers to land lease community and lifestyle village operators,” according to the executive.

Mr Lambert added the location represented one of the remaining opportunities for large-scale coastal residential development in Adelaide’s south.

“This was one of the last remaining coastal locations for a land development in Adelaide’s south, and offered a generational chance to shape the future of a high-growth, high-demand region rich in lifestyle amenity, and bring much-needed housing to Adelaide and South Australia,” he said.

Hallett Cove is about 23 kilometres south west of Adelaide’s CBD.

Urbex expands southern Adelaide presence

Urbex recently acquired a 3.71ha site at Sellicks Beach, where it is planning about a c65 lot subdivision.

Founded in 1979 by Beverley Power, her husband Bevin, brother, Michael, and his wife, Denise, BMD describes itself as Australia’s largest privately owned civil contractor, delivering more than 2700 residential lots.

Over 40 projects have been in South Australia including at Mount Barker, Angle Vale, Aldinga and Riverlea.

The group has also delivered infrastructure projects in the state, amongst them, the Palmer Wind Farm and SA Water’s Pipeline Partner Program.

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One of Australia’s largest free-range broiler chicken farming operations has been bought by a joint venture between poultry infrastructure specialist Santrev and private investors.

Southern Cross Farms SA Pty Ltd, a large-scale poultry enterprise near Owen in South Australia’s Lower North, was sold following a Colliers Agribusiness campaign led by Jesse Manuel and Duncan McCulloch.

The transaction follows a 2024 attempt by a different agency to sell the aggregation, on four titles.

During that campaign, price expectations were over $20 million.

The operation entered voluntary administration mid-last year, with Glenn Franklin of accounting firm PKF appointed administrator.

The deal comes a year since we reported KKR-controlled ProTen bought the Somerset Poultry facility in Victoria’s Murgheboluc, able to rear 300,000 birds.

Not long earlier, Corval bought two farms with leasebacks to Cordina Group, in New South Wales.

Development upside

The Santrev JV is acquiring the business and associated assets.

The sale preserves the ongoing operation of the 206 hectare farm known as 85 Wandel Road, Owen.

The amalgamation comprises 29 climate-controlled free-range poultry sheds capable of rearing almost 950,000 birds per growing cycle.

All up, there is some 61,000 square metres of infrastructure, mostly developed in 2015 (continues below).

The improvements also include a 500kW solar installation and large-scale desalination plant and two standalone older-style brick homes.

The property is permitted for eight more sheds.

Next chapter for significant poultry farm

The operation has been progressively developed into a free-range broiler farm, with specialised sheds, water security infrastructure and renewable energy assets.

“Southern Cross Farms is one of the most significant poultry assets to transact in Australia in recent years,” Mr Manuel said.

“Its scale, high-quality infrastructure and strategic position within Australia’s poultry supply chain attracted strong interest from strategic buyers and investors throughout the campaign,” he added.

The Owen-based portfolio previously operated as a major supplier within Australia’s poultry supply chain, with its free-range production infrastructure supporting large-scale chicken production.

“This transaction reflects the strength of investor confidence in South Australia’s agribusiness sector and the long-term fundamentals underpinning Australia’s poultry industry,” Mr McCulloch said.

“The acquisition provides Santrev, which specialises in poultry infrastructure development, with ownership exposure to an operating agricultural enterprise while allowing the continued expansion of a strategically significant food production asset,” he added.

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Actually two neighbouring holdings, 24-46 Boucaut Avenue and 67-75 Windsor Grove found favour with a China backed local developer for $15.55 million.

A residential project is expected.

The 1.5 hectare site was marketed to aged care developers, amongst other specialist residential groups too.

The properties were also offered separately.

JLL’s Jack O’Leary and Tom Love were the agents.

Site set for development

Klemzig is about eight kilometres north east of Adelaide’s CBD (continues below).

This site, with environmental constraints, abuts the Linear Park Windsor Grove Playground, about 1.5km from the Klemzig Interchange.

Mr O’Leary said the campaign attracted both local and interstate developers seeking scarce infill opportunities.

“The volume of offers reflects the limited availability of development sites of this scale within Adelaide’s inner suburbs,” he added.

“Residential development conditions have become more selective; however, demand remains for well-located infill opportunities,” according to the executive.

Mr Love said the property’s scale and configuration broadened its appeal.

“The rectangular-shaped allotment with three street frontages and general neighbourhood zoning provided immediate development flexibility that resonated strongly with buyers across multiple development categories,” he added.

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The Melbourne based asset manager led by Tom Borsky banked $25.25 million for 6-14 Oxenham Street, Dudley Park.

It paid $16m in 2020.

That seller was Spotless Group which developed the asset in 2012 for its Downer EDI subsidiary which has the head lease until February, 2028.

Spotless then sub-let the asset for seven years to the Department of Defence which invested $4m on a fit-out.

The federal government renewed its lease in 2021 and 2023 and still occupies (continues below).

On 9000 square metres the property includes a 3220 sqm office and 1200 sqm warehouse.

Dudley Park is about three kilometres from Adelaide.

It is nine kilometres south east of Port Adelaide.

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