A landmark mixed-use heritage complex positioned at the heart of Ipswich’s CBD and dating back to 1897 has sold for $13.015 million following a competitive sales campaign run by Knight Frank.
The fully-restored asset at 88 Limestone Street occupies a 4,092sq m site at the nexus of the healthcare, legal and civic precincts in the city, and has triple street frontage to Limestone, Ellenborough and South Streets.
While it was originally built in 1897 and designed by renowned heritage architect Brockwell Gill to serve as a local trades college, the property underwent an extensive $8 million adaptive transformation from 2013 to 2017 into modern commercial and retail space, while preserving its architectural integrity.
It now has 3,039sq m of net lettable area across four interconnected buildings surrounding a laneway precinct and includes 45 onsite car parks.
The asset is 100% leased to tenants including Kids at Play Therapy Services, McNamara Law, SC Brewing Co, Gibson Architects and Construction Project Management, generating an estimated net passing income of $1,007,178 per annum with a WALE of 4.08 years by income.
The underlying land parcel offers a ‘Principal Centre’ zoning with development potential on the vacant car park portion of the site for between three to five storeys (subject to council approval).
88 Limestone Street was sold by James and Tracey Long, founders of CPM group, who acquired the property in 2012 from the Queensland Government and undertook the extensive redevelopment program from 2013.
It was purchased by Precept Property Partners on behalf of a private mandate in a deal negotiated by Sam Biggins and Christian Sandstrom of Knight Frank.
Mr Biggins said the highly competitive Expressions of Interest campaign resulted in multiple offers for the property following more than 80 enquiries from a broad cross-section of syndicators and high net worth individuals.
“The successful sale of 88 Limestone Street reflected the purchaser’s recognition of the asset’s strategic positioning at the nexus of Ipswich’s health, legal and commercial precincts,” he said.
“The purchaser, operating on behalf of a private mandate with a background in the medical sector, was attracted to the building’s location at the heart of one of Ipswich’s most dynamic and well-connected precincts.
“The asset’s proximity to the billion-dollar expansion of Ipswich Hospital further underscores the long-term strength and resilience of the surrounding catchment.
“88 Limestone Street is a flagship investment in what is one of Queensland’s fastest-growing regional cities, with its substantial site offering strong potential for long-term growth in underlying land value.”
Mr Sandstrom said the sales result for 88 Limestone Street was indicative of sustained demand among private investors for quality investments.
“We continue to see strong appetite from private investors actively seeking stabilised, income-producing assets in established locations,” he said.
“88 Limestone Street is fully occupied by a diverse tenant mix with a well-staggered expiry profile, delivering secure, stable income.
“Occupying a prominent, tightly-held corner position in the Ipswich CBD, it sits close to major employment nodes and commercial activity, underpinning sustained tenant demand.
“Quality offerings of this nature, underpinned by secure fundamentals, remain highly sought after in the current market.”
James Long, Executive Chairman of CPM group, who redeveloped the building, said the sale marked a significant milestone for the asset at 88 Limestone Street.
“It has been a privilege to restore and develop a landmark heritage building in central Ipswich,” he said.
“We are delighted to be transferring the asset to a new custodian who shares our long-term vision for its future and its enduring contribution to the Ipswich community.”
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