De Luca Corporation has exchanged contracts to buy the Red Cross’ Brisbane HQ with plans for the future

A leading not-for-profit organisation has sold its Brisbane headquarters and will put the money back into its services.

The Red Cross’ Brisbane head office at 49 Park Rd, Milton.

A LEADING local property group has exchanged contracts to buy the Red Cross’ Brisbane’s head office in the inner west and has kept its options open on the site’s long-term future.

De Luca Corporation will settle on the purchase of Humanity Place at 49 Park Rd, Milton, in May.

De Luca managing director Nic De Luca said the property adjoins the company’s current commercial holding at 61 Park Rd.

The Red Cross has put its Milton office building — Humanity Place — on the market and will put funds back into the organisation

De Luca Corporation has started construction of a neighbourhood hub in Eden’s Crossing community

Almost $44 million of Queensland property was snapped up by investors from around the country with a Bunnings warehouse scoring the top sale price

After being redeveloped a Bunnings in Lawnton attracted a flurry of bids before being sold for $18.86m on a very tight yield

“When combined they will have a land holding of about 3000sq m with over 110m of corner street frontage to both Park Rd and Fort Lane,” he said.

“The combined buildings have 4000sq m of leased area, and 100 car parks”.

Mr De Luca said his initial intention was to secure a medium-term income stream while exploring potential longer-term redevelopment opportunities given the properties prime position.

As part of the sale, Red Cross has committed to lease back 60 per cent of the building for an initial five-year term with De Luca already pre-committing part of the balance space.

A small commercial/retail component will be released to the market for lease.

Knight Frank’s Christian Sandstrom and Blake Goddard and Colliers International’s Hunter Higgins, Nick Wedge and Guy Wells ran the national expression of interest campaign.

Partner Developments’ Matthew Berg was transaction manager.

They refused to comment on the price but industry sources believe it sold for around $13 million.

The Red Cross’ Brisbane head office at 49 Park Rd, Milton.

A Red Cross spokesman said the sale was part of the organisation’s property masterplan.

“As part of the master plan we are seeking to release the increased value from our properties, and reinvest that money into more suitable properties and to provide better support for people in need,” he said.

The three-level freehold property with a 2638sq m of gross lettable area is on a 1902sq m site. The Red Cross acquired the property in 2004 for $6.8 million in 2004.

Mr Sandstrom said the campaign generated more than 200 inquiries and 15 offers ranging from syndicators, value-add investors and owner-occupiers.

“With a mixed-use zoning, the Park Rd site could be suitable for an office redevelopment, as well as a residential or hotel or serviced apartment development, with a ground floor retail activation, in addition to potential for refurbishing and repositioning,” he said.

“There are very few commercial buildings in a desirable location that have the potential for

multiple repositioning opportunities, making this property very unique.”