AOF list three prominent office investments across the nation

19 August 2022

The Australian Unity Office Fund has listed three premium investment opportunities across Queensland and the ACT, offering an incredible chance to acquire office assets in some of the country’s most sought-after markets.

Colliers and Knight Frank have been appointed to sell the properties individually, which consist of 150 Charlotte Street, Brisbane, 90-96 York Street, Beenleigh in the City of Logan south of Brisbane, and 64 Northbourne Avenue, Canberra.

The assets are an attractive prospect to a range of buyer types, both domestically and abroad, and provide both core and value add opportunities.

150 Charlotte Street provides approximately 11,080sqm of NLA over the 19-level office building and has 97 per cent of income secured by Boeing Defence and the Australian Government. Occupying a prime Midtown location, it is soon to benefit from the opening of the Queens Wharf and Cross River Rail. It is listed with Jason Lynch and Hunter Higgins of Colliers and Justin Bond and Matt Barker of Knight Frank.

 “150 Charlotte Street provides an opportunity to reposition the asset through strategic leasing, asset enhancement works and active asset management. The building fundamentals provide ultimate flexibility to cater for the most active tenant sector of the market,” Mr Lynch said.

“The Brisbane CBD is currently undergoing a transformation, with infrastructure projects in the pipeline and public transport projects set to improve the city, as well as accessibility. Charlotte Street will benefit more than most locations from this activity and shall also be boosted by its proximity to Albert Street, where the first CBD train station in more than 120 years is being built,” Mr Bond said.

90-96 York Street in Beenleigh in Queensland is a brand new seven-level A-grade boutique office building that was completed in 2022, offering an NLA of approximately 4,650sqm and a WALE (by income) of 8.4 years. 86 per cent of income is underpinned by Logan City Council for 10 years. It is listed with Jason Lynch and Hunter Higgins of Colliers and Christian Sandstrom and Blake Goddard of Knight Frank.

“90-96 York Street provides the opportunity to secure one of Brisbane’s best quality metropolitan office assets.  Located within the Beenleigh Principal Activity Centre, the asset provides exceptional ESG qualities targeting a 4.5 Star NABERS energy rating and provides tax effective annuity-style return profile given a WALE of 8.4 years,” Mr Lynch said.

“One of the biggest drawcards of this asset is the strength of the covenant, with a long-term commitment to Logan City Council. Logan Water is occupying the building, having relocated it from multiple different locations into one central location to service the catchment of Beenleigh. It’s also a brand new building with significant depreciation benefits in a central location close to retail amenity and public transport, in the growing City of Logan,” Mr Sandstrom said.

The Canberra asset at 64 Northbourne Avenue is 100 per cent leased and provides approximately 6,375sqm of NLA over six levels. With triple street frontage and on one of Canberra’s most high exposure corners, it has 50 per cent of income underpinned by the Commonwealth of Australia & Defence Force Recruiting. Matthew Winter and Paul Powderly of Colliers and Daniel McGrath and Sean North of Knight Frank have the listing.

“The asset provides an attractive value-enhancing proposition given the diversified tenancy and expiry mix as well as the flexible floorplate that caters to multiple tenant types. Strong leasing fundamentals underpin the ACT office market, and in particular the Canberra CBD which supports future renewal or reletting prospects,” Mr Winter said. “The significant site area of 1,500m²-plus with wide exposure, including to the ACT light rail terminus may also provide future redevelopment prospects*.”

 “This property will be a well sought-after asset in the changing market, being a multi-tenanted, low risk asset in arguably Canberra’s best location.” Mr McGrath said.

90-96 York Street, Beenleigh, 150 Charlotte Street Brisbane and 64 Northbourne Avenue, Canberra are for sale individually via an international Expressions of Interest campaign closing Wednesday, September 21.