Mirvac offloads Southbank office
Marquette Properties has swooped on one of seven buildings in Brisbane’s Southbank – outlaying $104.4 million.
Mirvac was the vendor; it held 189 Grey Street, South Brisbane, in the Mirvac Property Trust.
The group also constructed it, in 2005.
CBRE’s Tom Phipps brokered the off-market deal.
The result is speculated to reflect a circa-seven per cent yield.
“With very little REIT, wholesale or offshore direct capital currently active, we are seeing syndicators, club investors and privates taking advantage of the current market volatility to secure assets that larger institutions deem too small or non-core,” the agent said.
“We made several approaches to acquire 189 Grey St on Marquette’s behalf and were ready to act when Mirvac elected to sell,” he added.
189 Grey Street
Over 12 floors, 189 Grey St contains 12,595 square metres of A-grade office area.
Ausenco Services and IAG are the anchors. There are also 146 car parks (story continues below).
About 2461 sqm is vacant including all of level seven (1640 sqm).
Marquette is expected to seed an unlisted fund with it.
“By measure of office fundamentals, the asset is one of the best buildings in Brisbane,” managing director, Toby Lewis, said.
“Moreover, we’d argue that Grey St is amongst the top three streets in Brisbane for office buildings, offering amenity which is among the best in our city,” he added.
The purchase comes eight months since the manager and Lendlease’s $1.5 billion Real Estate Partners 4 paid Dexus a headline price of $420m for 12 Creek Street, Brisbane, also known as Comalco Place.
Last year, Marquette outlaid $285m for 10 Eagle St, otherwise known the Gold Tower, in the city, now held in a trust owned by over 150 family investors.
Dexus was again that seller, with the Canada Pension Plan Investment Board; the price reflected a 5.3pc yield.
Mirvac is looking to offload investments worth c$1.3 billion to focus on its development pipeline, which in Melbourne includes several Build to Rent projects and an office at 383 La Trobe St.
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