Property funds management company CorVal has sold the balance of the Gold Coast Corporate Centre in Bundall for $109 million.
The Corporate Centre One building is approximately 11,500 sqm and is currently occupied by 37 tenants, including major organisations such as CBA, Findex and KPMG. It sits on a significant 2.26 ha of land over multiple titles.
CBRE agents Jack Morrison and Mark Witheriff worked with CorVal on the most recent sale, after the original sales campaign run by them and McVay Real Estate, resulted in the Wyndham Building trading for $46.25 million in June 2023.
“This transaction represents the largest office transaction ever on the Gold Coast and is testament to the City of Gold Coast’s forward thinking in securing a key office investment asset with a huge surplus land holding, allowing for a multitude of future uses,” Mr Witheriff said.
“CorVal has been an extremely active manager of the asset over its period of ownership, taking the building from carrying long term 20-30% vacancy to effectively fully occupied.
“The Gold Coast office market continues to be one of the strongest performing in the country with low single digit vacancy and strong year on year rent growth. With construction prices continuing to make new office development extremely difficult and creating a lack of supply, this trend is set to continue in the medium term.”
CorVal purchased the entire Corporate Centre precinct in 2017 for $89 million from fund manager Cromwell and has now divested its entire ownership. Over its period of ownership, Corval has achieved a masterplan across the site, spent targeted capital expenditure and completed over 30,000 sqm of leasing deals.
Oliver Picone, Chief Investment Officer at CorVal said, “The sale of this final component of the Corporate Centre provides our investors with a return well ahead of the initial underwrite and over a period where office investments have faced numerous challenges.
“The success of this investment demonstrates our team’s ability to acquire assets well, implement active asset management strategies and achieve strategic exits of assets when appropriate.”
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