Taxpayers foot bill as 1 William St rent skyrockets $14m

Queenslanders are footing the bill for skyrocketing rents in the glitzy government building in Brisbane’s CBD, but Premier Annastacia Palaszczuk says it’s Campbell Newman’s fault.

RENT at the glitzy government building at 1 William Street Brisbane has skyrocketed by almost $14 million since it was opened in 2016.

Queensland Premier Annastacia Palaszczuk said in Tuesday’s budget estimates taxpayers were now paying $62.6 million per year for the 41-storey building, compared with $48.8 million when the lease began.

Taking a swipe at former Premier Campbell Newman and the previous LNP government, Ms Palaszczuk said multiple buildings which were later demolished were sold “under book value” to make way for the development of the skyscraper.

Brisbane’s CBD skyline with 1 William St in the foreground. Picture: Marc Robertson

The building now houses ministers, more than 5,000 government staff and multiple departments. Developer Cbus was granted a 99-year lease under the terms of the build.

“You think now, we’re an Olympic city, and how much those (demolished) buildings and that land would be worth today,” Ms Palaszczuk said.

“The taxpayers of Queensland do not own this building thanks to the recklessness of the LNP government.”

Ms Palaszczuk said she had asked her staff to “check the figures” on the lease, saying she was “absolutely astounded” by the costs associated.

“I’m advised that the total building outgoings paid from the 1st of July 2021 to 30th June 2022, which includes building management, rates, insurance, security, water usage, land tax, statutory charges, is $10.3 million and I remind the committee that these are lease costs,” she said.

“I’m advised the annual rent paid for carparking in the last financial year was $2.6 million – this is the deal you (the LNP) left us.”

However, it is understood the former LNP government had intended to lease 15 floors to private sector leases, which are instead now being filled by the public service.

An opposition spokesman said the rising costs on One William Street were as a result of “decisions made by the Labor government”.

Originally published as Taxpayers foot bill as 1 William St rent skyrockets $14m