Biggest Commercial Sale for 2015

News of the WeekThe Dexus Property Group has added to its Brisbane office portfolio through the purchase of Waterfront Place at 1 Eagle Street, Brisbane and the Eagle Street Pier at 45 Eagle Street, Brisbane. The sale, at $635 million, was arranged by CBRE Brisbane and JLL Brisbane. Vendors of Waterfront Place, each with a half share, were Future Fund and Stockland Trust.  Future Fund was established by the Australian Federal Government in 2006 to assist future Australian Governments to meet the cost of superannuation liabilities.  Stockland Trust is a diversified property group with units stapled to shares in Stockland Corporation Ltd and traded on the stock exchange.

Dexus, who will now have 14.2% of its office portfolio in the Brisbane CBD, is one of Australia’s largest listed owner and manager of Australian office properties. Dexus is purchasing the properties in partnership with the Dexus Wholesale Property Fund, a $5.5 billion unlisted property fund which owns interests in a diversified portfolio of office, industrial and retail properties throughout Australia.

According to Brisbane Cityscope, Waterfront Place is a 36-level, 162-metre office tower completed in mid-1990. The building comprises 36 office floors and two basement levels of tenant and visitor car parking, with 494 car spaces. It has a net lettable area of almost 60,000 sqm and a 5-star NABERS rating. The building is well leased and its major tenants include BankWest, BHP Billiton, BlackRock, Commonwealth Parliamentary Offices and the Honorable Bill Hayden A.C.

Eagle Street Pier is a 2-storey retail centre with numerous hospitality/tourism tenants including Matt Moran’s Aria Restaurant, Bavarian Bier Café, The Coffee Club and Kookaburra River Queens river boat tours.

The properties last traded as a whole at a total of $307 million in 2004. The current sale, at $635 million, represents an initial yield of 6.3% and values the properties at $9,664 a square metre.


Meredith Baume
Commercial Research

Subscribe to the free Commercial Pulse eNewsletter
Get the latest commercial news and sales data each week from our CoreLogic RP Data Commercial Pulse! Click here to subscribe.

About Commercial Research

CoreLogic RP Data Commercial Cityscope is a web-based service. Access is sold by geographic regions (Cityscope areas). There are 25 geographic regions across Australia (three in New Zealand), clustered around the cities of Sydney, Melbourne, Brisbane, Adelaide, Perth, Canberra and Newcastle. Darwin and Hobart CBD centres aren’t covered. Cityscope Areas in NSW and QLD also include lease expiry data for the most complete commercial coverage available. For more information call 1300 734 318.

Connect with CoreLogic

Enter your email address to subscribe to our e-newsletter, and have new posts delivered via email. You can also connect with CoreLogic on social media.

No comments yet.

Leave a Reply

Notify me of followup comments via e-mail. You can also subscribe without commenting.