The Australian Red Cross has sold its Brisbane head quarters in a sale and leaseback arrangement worth $13.9M.
The property at 49 Park Road, is a prominent multilevel commercial office building providing 2,638 sqm of office accommodation over large floor plates. The building offers secure car parking for 57 vehicles and is positioned well with exposures to Milton’s high street.
The purchase price represents $5,269/psm of NLA.
The purchaser, De Luca Corporation, is a well known building and developer in Queensland and currently own and occupy the adjacent property at 61 Park Rd.
The property was offered to the market via Knight Frank and Colliers with a leaseback to Australian Red Cross with Red Cross offering a gross rental of $475/psqm pa. On that basis, the passing yield for the transaction is approximately 6.4%. Red Cross will remain a tenant of the building occupying 56.9% of the building on a five (5) year term and the purchaser occupying the remainder.
According to Knight Frank, the four week expression of interest campaign generated over 200 enquires and a total of 15 offers ranging from syndicators, value-add investors and owner occupiers.
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