Melbourne based investment fund Collective Capital Investments Pty Ltd has acquired the new Energy Queensland head office in Cairns for $14.7m from local developer Terry Plos.
It is the first acquisition for Collective Capital Investments, led by fund managers Nicholas Thompson and Dale O’Dwyer.
CBRE’s Danny Betros negotiated the deal following a national Expressions of Interest campaign, with the sale price reflecting a net yield of 6.5%.
“This is an exciting acquisition for Collective Capital and its investors in a city seeing significant infrastructure investment and growth,” Collective Capital Investments’ Mr O’Dwyer said
“We are delighted that this investment provides investors a strong income stream underpinned by long term lease to a state government entity. This, coupled with the opportunity to acquire a brand-new A grade office building, makes this acquisition a fantastic inaugural investment for Collective Capital.”
The purpose-built, two level office building provides a net lettable area of 2,400sqm, with 76 on site car parks. The state-of-the-art building is situated on a 4,044sqm site at 157-159 Bunda Street, on the fringe of the Cairns CBD.
Energy Queensland has signed a 10+5+5yr lease commencing on August 1st, 2019, with the state government owned utility having invested in a highly sophisticated fitout.
The tenant is vacating an older, self-owned CBD office building that it has occupied for the past 40 years.
Mr Betros said CBRE had been pivotal in researching the market on behalf of the lessee to present the best alternatives - both existing and purpose built - for its new head office.
He noted that the opportunity to provide an ultra-modern work environment and extensive secure carparking for the department’s circa 70 staff had been central to Energy Queensland’s lease decision.
“It’s been a rewarding exercise in being able to sell the owner the land, help design the building initially, lease the property, sell it to a very hassle-free buyer and in turn be able to manage the completed building for the new owners. It is one of the most impressive buildings we have seen to date in Cairns,” Mr Betros said.
It is the first acquisition for Collective Capital Investments, led by fund managers Nicholas Thompson and Dale O’Dwyer.
CBRE’s Danny Betros negotiated the deal following a national Expressions of Interest campaign, with the sale price reflecting a net yield of 6.5%.
“This is an exciting acquisition for Collective Capital and its investors in a city seeing significant infrastructure investment and growth,” Collective Capital Investments’ Mr O’Dwyer said
“We are delighted that this investment provides investors a strong income stream underpinned by long term lease to a state government entity. This, coupled with the opportunity to acquire a brand-new A grade office building, makes this acquisition a fantastic inaugural investment for Collective Capital.”
The purpose-built, two level office building provides a net lettable area of 2,400sqm, with 76 on site car parks. The state-of-the-art building is situated on a 4,044sqm site at 157-159 Bunda Street, on the fringe of the Cairns CBD.
Energy Queensland has signed a 10+5+5yr lease commencing on August 1st, 2019, with the state government owned utility having invested in a highly sophisticated fitout.
The tenant is vacating an older, self-owned CBD office building that it has occupied for the past 40 years.
Mr Betros said CBRE had been pivotal in researching the market on behalf of the lessee to present the best alternatives - both existing and purpose built - for its new head office.
He noted that the opportunity to provide an ultra-modern work environment and extensive secure carparking for the department’s circa 70 staff had been central to Energy Queensland’s lease decision.
“It’s been a rewarding exercise in being able to sell the owner the land, help design the building initially, lease the property, sell it to a very hassle-free buyer and in turn be able to manage the completed building for the new owners. It is one of the most impressive buildings we have seen to date in Cairns,” Mr Betros said.
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About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2018 revenue). The company has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2018 revenue). The company has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
