June 2019

Brisbane CBD Office Market Becoming Red Hot

Brisbane’s office market has emerged as one of the hottest destinations in the country, with another major deal on the cusp of being struck.

In one of the year’s largest commercial plays, AsheMorgan is targeting the purchase of the Australian Government Centre for about $430 million.

Fierce competition for the Australian Government Centre, in ­Brisbane’s uptown precinct, was sparked when it was put on the market.

The well-known office complex, adjacent to Anzac Square, comprises three assets, at 140 Creek Street, 295 Ann Street and 232 Adelaide Street.

The building at 140 Creek Street is a 25-level, A-grade ­office tower with 1175 sqm floor plates and good natural light. The building spans 27,914 sqm and major tenants include Centrelink, the state government and SAP Australia.

The A-grade tower at 295 Ann Street has also undergone a major refurbishment to the lifts, entrance lobby and façade, the building spans 20,118 sqm and was completed in 1972. It has an average floor size of 1,216 sqm. Queensland Rail, the Australian Bureau of Statistics and the Administrative Appeals Tribunal are listed as major tenants.

Built in 1937, 232 Adelaide Street is a seven-storey building, with unique refurbished office space on the ground floor. The smaller B -grade building spans 4459 sqm, major tenants are the ILSC Language School, PA Lucas & Co, and ­Bureau Probert Architects.

AsheMorgan has been an active trader on behalf of its clients.

The real estate investment manager last year bought AMP Capital’s Crossroads Homemaker Centre in southwest Sydney for $140m, showing confidence in the large format retail sector.

It is also an office buyer. In 2017, AsheMorgan, acting with the backing of Hong Kong-based Value Partners, bought a tower in Sydney’s Hunter Street.

See original article: https://www.theaustralian.com.au/business/property/brisbane-cbd-office-market-becoming-red-hot/news-story/0983adcd57cb8d12f5daac286354bb61