Gold Coast office building sells for $40m7 September 2023
• The sale of an office building at 35 Robina Town Centre Drive in Robina on the Gold Coast has settled
• The property was sold for $40m to Brisbane-based fund manager Exceed Capital
• The off-market deal saw Knight Frank’s Matt Barker, Blake Goddard and Justin Bond introduce Exceed Capital to the vendor
• The sale is believed to be the first significant office deal to an unlisted Fund Manager in Queensland this year
The sale of a Gold Coast office building for $40 million has now settled, marking what is believed to be the first significant office deal to an unlisted Fund Manager in Queensland this year.
The property at 35 Robina Town Centre Drive in Robina was sold to Brisbane-based fund manager Exceed Capital.
The off-market deal saw Knight Frank’s Matt Barker, Blake Goddard and Justin Bond introduce Exceed Capital to the vendor.
The six-level A-grade office building has 9,173sq m of net lettable area (NL) on a 6,760sq m site in the heart of Robina, adjoining the Robina Town Centre shopping centre, the third largest shopping centre in Queensland. It also has a generous 249 car parks.
The former Foxtel head office is fully leased, anchored by multinational business services company Concentrix, which occupies 61 per cent of NLA.
A total of 83 per cent of NLA is leased to ASX-listed or multinational tenants, with other tenants including Retail Food Group, United Disability Care Services, Infinity Group Coaching, VTG Artisan and a café.
The building was completed in 2001 and has only just finished a major upgrade totalling $4 million including refurbishments to the ground level foyer, amenities, end-of-trip facilities in the basement of the building and brand-new condensers and cooling tower to service all HVAC within the building.
Mr Barker said: “The location of the property, immediately adjacent to the retail and dining amenity of the shopping centre and close to transport options including Robina train station as well as in a strongly populated part of the growing Gold Coast, were strong drawcards for the buyer.
“There was also an opportunity to improve the property‘s net income by aligning lease renewals to market rents, as well adding value by making improvements to the long-term environmental sustainability of the building.
“While the WALE was 1.41 years by income, early discussion with tenants indicate lease extensions are being sought.
“This is the largest settled unlisted office transaction in Queensland for 2023 demonstrating ongoing confidence in the South East Queensland office market.”
Mr. Goddard said the building was one of the best presented A-grade office towers on the Gold Coast,
“The property has a glass curtain façade providing maximum natural light throughout the tenancies,” he said.
“The building features balconies on every second floor providing breakout areas for staff and guests, and enjoys some of the largest floor plates on the Gold Coast, with an average size of around 1600 square metres, but with the ability to easily accommodate split floor tenancies if required.
“The Gold Coast is one of Australia’s fastest growing economies with high demands as a business location, and with low supply of office buildings there has been a flight to quality, which has benefitted this building and will continue to do so in years to come.”
According to the latest Property Council of Australia figures, the current A-grade vacancy rate on the Gold Coast is 4.6 per cent, with the Robina/Varsity region experiencing a reduction in the vacancy rate from 8.6 per cent to 5.2 per cent in July.
Robina offers Gold Coast residents everything they need including shopping, office buildings, great schools, Bond University, Robina Hospital, and a sports and entertainment venue – Cbus Super Stadium. The population of Robina is approximately 53,900 with a population growth rate projected to increase by 126% over the next 30 years.
Exceed Capital’s Managing Director Vaughan Hayne said “This is a fantastic acquisition, in a very strong location and we are excited to add this asset to our portfolio. 35 Robina Town Centre Drive will be Exceed Capital’s ninth acquisition, with total assets now worth more than $250m.”