Perth

Development site at heart of Northbridge revitalisation hits the market

One of Western Australia’s large property owners, The Paolucci Group, has moved to sell a prized piece of real estate in the heart of Northbridge – paving the way for a landmark development in the rapidly evolving precinct.

23 May 2018

One of Western Australia’s large property owners, The Paolucci Group, has moved to sell a prized piece of real estate in the heart of Northbridge – paving the way for a landmark development in the rapidly evolving precinct. 

Located directly opposite Perth City Link and the recently opened Yagan Square, the property at 189 – 199 William Street is touted as being one of the most highly anticipated development opportunities, forming an integral part of the repositioning of Perth’s urban core. 

The 3,721sqm landmark mixed use site is slated for a transformational development, consisting of two 29-storey towers and one 14-storey tower – home to some 190 residential apartments, 127 hotel rooms, retail, food & beverage amenity and public open space. 

The proposed project, designed by international architects HASSELL, holds potential to create a pedestrian thoroughfare connecting William Street, James Street, Nick’s Lane and Roe Street - becoming the new epicentre of Northbridge. 

CBRE’s Aaron Desange and Kate Foley have been appointed to steer the marketing campaign on behalf of The Paolucci Group, who has owned the site for 12 years. 

“The opportunity to acquire a privately-owned site of this scale and in this location – which is not a State Government release is truly rare and unlikely to be repeated in the near future. This is an opportunity to undertake what will be a multi-generational development with long-lasting significance in Perth’s most desirable and fastest evolving urban precinct,” Mr Desange said. 

The property is currently known as Arcade 189 and comprises a two-storey arcade incorporating ground floor retail and food & beverage. Tenants include Ezra Pound, No Mafia and Taylorweir International School of Hairdressing on the upper level, in addition to an 89-bay Wilson carpark. The fully leased property provides an annual income of over $1.5 million with a WALE of 3.5 years. 

CBRE selling agent Kate Foley said the opportunity would attract interest from a wide range of buyers, including offshore and domestic developers. 

“The site’s position opposite one of Perth’s largest redevelopment projects, Perth City Link – connecting the city to Northbridge for the first time in 100 years – is a unique opportunity that we expect will be strongly contested,” Ms Foley said. 

“We anticipate strong interest from Asian groups given the attractive holding income, central location, landmark nature of the site and significant scale of development potential. These offshore groups are highly active in the Perth market, with groups from Singapore, Malaysia and Hong Kong – all having secured landmark development sites already.” 

Mr Desange added: “A number of these groups from Asia are solely interested in the ability to develop premium sites that are then held generationally.

“Market participation for prime sites is generating significant competition among buyers who recognise an opportune time to secure land and benefit from future growth in the Perth market.  Additionally, a number of these offshore parties have access to large amounts of pent up capital and are forming joint venture partnerships with local developers to bolster their onshore expertise.” 

The property is being offered for sale via International Expressions of Interest closing Thursday 28th June 2018 at 2.00pm AWST. 
 
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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 2017 revenue). The company has more than 80,000 employees (excluding affiliates), and serves real estate investors and occupiers through more than 450 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.

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Neither CBRE nor its affiliated companies make any warranties or claims on the implied accuracy of the information contained herein.

About CBRE Group, Inc.
CBRE Group, Inc. (NYSE: CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2021 revenue). The company has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of 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 https://www.cbre.com.