Hot Property: NDIS provider buys the Gulfland Motel and Caravan Park, Queensford College secures CBD building

NDIS provider buys Qld icon, college secures CBD office building and industrial rents surge – these are the hottest commercial property deals in Queensland this week.

This week's hottest commercial property deals.

One of Queensland’s largest NDIS mental health providers has purchased the home of the renowned “Big Barra” tourism attraction in the state’s far north west.

Townsville-based Selectability has acquired the freehold going concern interest in the Gulfland Motel and Caravan Park, at 11 Landsborough St, Normanton.

The mental well being and suicide prevention organisation plans to use the motel and caravan park for staff accommodation while operating in nearby locations.

CBRE’s Hotels’ Hayley Manvell and Jay Beattie managed the sale, on behalf receivers and managers, BRI Ferrier.

The Gulfland Motel and Caravan Park in Normanton has been bought by NDIS mental health provider Selectability.

“Given the size, accommodation mix, guest facilities, and the lack of competition within the area, the campaign received strong inquiry, appealing to a wide range of investors regionally and nationally,” Ms Manvell said.

“The property served as a base for workers and travellers within the region, due to its valuable position with high exposure to passing traffic and proximity to nearby amenities and attractions.”

Queensland’s famous Big Barra out the front of the Gulfland Motel and Caravan Park

Ms Manvell refused to comment on the price but local sources say it sold for about $1.8m.

The 1.56ha land parcel comprises 28 self-contained accommodation rooms, a caravan park with 55 sites, a four-bedroom manager’s residence, and guest facilities including the licensed Gulflander Bar & Grill Restaurant, the ‘Big Barra’ tourist attraction, and a swimming pool.

CBD sale adds up

A vocational school has snapped up a three-level building in Brisbane’s CBD which has been earmarked for a 44-storey office tower development in the city’s North Quarter precinct.

An entity associated with Queensford College paid $13.2m for the building at 33 Herschel St in a deal that reflected 43 per cent capital growth in just over three years.

Struck by Colliers’ Tony Wang and Troy Linnane and Cushman & Wakefield’s Andrew Gard and Michael Gard the sale was one of only three sub-$20m freehold office buildings transacted in the Brisbane CBD in the past year.

The secondary grade building was sold on behalf of local Asian developer Capricorn Asset Management which purchased it in 2020 for $9.25m. It has lodged a development application to build at 44-storey office tower on the site.

Colliers’ Tony Wang at 33 Herschel St in the Brisbane CBD.

The latest sale reflected a strong initial passing yield of 4.47 per cent.

Mr Wang said the building was a rare opportunity.

“Even though there have been several unsuccessful commercial asset marketing campaigns with the lowest levels of office transactions in Brisbane since the onset of the Covid-19 pandemic in 2020, there remains a strong influx of Asia-Pacific capital into Brisbane’s commercial real estate market,” he said.

“We are witnessing strong buyer interest for assets sub $30m with Australia continuing to be highly sought after for Asian investors given its stable fundamentals and globally comparative resilience and value, especially when we look at the European and US markets.”

On a 911 sqm freehold site, the building was built around 1975 and underwent a refurbishment in 2013.

Mr Linnane said the property was strategically location in the heart of the CBD’s North Quarter precinct – an area that is witnessing substantial government infrastructure and commercial development.

“The site is a rare find in the Brisbane CBD, with the existing improvements offering 1749 sqm of net lettable area with development potential up to a height of 274m,” he said.

“Currently, the property is fully occupied by contractors involved in the delivery of cross river rail development.”

Rental surge

A growing third-party logistics service provider has secured an office/warehouse in Brisbane’s south more than double the size of its previous base as industrial rental rates surge to unprecedented levels.

New Way Logistics has a three-year lease with an option on the four-year-old property at 39 Corymbia Place, Parkinson, after a deal struck by Donnelly & Associates’ Ben Donnelly.

Mr Donnelly said the company had outgrown a site they owned in Crestmead which was about 1500 sqm.

Donnelly & Associates’ Ben Donnelly inside a warehouse at 39 Corymbia Place, Parkinson.

“They’re upgrading and growing. We negotiated with the existing tenants to leave a month earlier so we can slot these guys in,” he said.

The 3500 sqm two-level tilt panel is on a 5702sq m site that backs onto the Mount Lindesay Highway. New Way is paying an annual rent of $526,950.

Mr Donnelly said he had secured the site for BP Auto Group in 2021 which they used as a pre-delivery warehouse and office.

“Rents have definitely jumped, in particular for the better end of the market,” he said.

“I put BP Auto Group in there and three years ago at $95/sqm. There were a couple of rental reviews and it went up to $105/sqm and the new tenants are now paying about $150/sqm.

“It’s a flight to quality and low vacancy rates have increased rental rates and decreased incentives.

“There’s also not much available in that 2000 sqm to 5000 sqm range, especially A-grade.”

The building’s features include full LED lighting, data cabling, corporate office/showroom, 3-phase power, lunchrooms and amenities (including shower), multiple container height roller doors and ample onsite carparking.

The site is fully fenced and secured with dual crossovers for easy truck manoeuvring. Neighbours include Coles, CHEP and Fuji Xerox.