Commercial Confidential: All the latest property gossip, leasing and sales news in Brisbane
Plans for an ATO-leased office tower are progressing while a retail construction company has plenty of work and more office towers are on the market.
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THERE seems to be some movement in the long running saga of the Morris Property Group’s plans to build an office tower on the edge of the CBD.
The small office building it owns at 152 Wharf St has been knocked down and the site cleared, although we’re told there are some issues still to be resolved.
They are, if you remember, an appeal lodged against the Brisbane City Council’s approval of for the development of the 27-storey office tower on a 1981sq m corner site.
Citing an “over development” Spring Hill local Neil Peach — backed by crowd-funding, launched an appeal against the office tower and at the same time an appeal against the approval of a 30-storey residential tower on the same site.
We understand the appeal against the residential tower has been dropped and the legal process on the other tower is due to be wrapped up. We will see.
Regardless, all the ducks seem to be in a row for MPG.
They have cleared the site and we hear the ATO has either pre-committed or almost pre-committed to 20,000sq m plus in the building.
While the ATO has committed to a seven-year lease at LaSalle’s office building at Upper Mount Gravatt, other ATO leases are only for the short term with the expectation of moving over the next couple of years.
With four A-grade buildings under construction — Dexus’ 12 Creek St Annex, Mirvac’s 80 Ann St, Midtown tower on Charlotte St and the Shayher Group’s 300 George St in the Brisbane Quarter — there will be a lot of back space to fill.
Strong relationships, big future
HAVING delivered about $20 million in projects in Queensland in the second quarter of 2019, retail specialist Mainbrace Constructions has kicked off the new financial year off with a number of new appointments.
Last quarter Mainbrace completed on schedule the new luxury precinct at QueensPlaza in Brisbane for Vicinity Centres and a new supermarket at Tweed Mall as well as the refurbishment of a Woolworths supermarket at Yamanto.
Mainbrace QLD state manager Duncan McAndrew says: “We’re fortunate to have built strong relationships with leading shopping centre owners, developers and retailers in the last 30 years. We are here to help regardless of where the market cycle sits.”
Mainbrace has signed numerous new contracts in this quarter totalling about $15 million, with new projects for Charter Hall at Atherton, a new food store at Stafford, Home Co at Springfield and the re-purposing of a former Masters bulky goods property for a private developer at Everton Park.
The company is currently progressing a new neighbourhood centre with a supermarket and speciality stores for Coles at Rochedale, and a new ALDI supermarket at Allenstown.
Deal to secure $2b slice of centre
WE hear industry super fund manager ISPT is the market’s pick to buy the Queensland Investment Corporation’s Q&A Centre at 141 Queen St and 140 Elizabeth St.
The office towers at 141 Queen St and 140 Elizabeth St, connected by Albert Lane, through to Queen Street Mall.
Marketed by Colliers International and JLL the assets are next to ISPT-owned properties at 155 Queen St, the Regent theatre site and the Wintergarden.
The price expectations are just below the $400 million market and if they do end up buying it, ISPT could have a $2 billion-plus slab of one of Australia’s busiest shopping precinct.
Meanwhile, US property giant Hines has put its IBM tower at 348 Edward St on the market through CBRE and JLL.
The building which it brought in 2016 for $49 million has been upgraded and lease up with expectations it could sell for around $90 million as either an investment or a long-term development option.
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