SINGAPORE / AUSTRALIA, 2 AUGUST 2018 – Rockworth Capital Partners Pte Ltd (“RCP” or the “Group”) is pleased to announce that the Group has acquired a freehold office building, 100 Edward Street (“100 Edward” or the “Property”), located within Brisbane’s ‘Golden Triangle’ financial precinct. The Property was purchased from an investment partnership managed by Evolution Private (“Evolution”), in an off-market transaction valued in excess of A$60m.
The acquisition of 100 Edward marks RCP’s first entry into the Brisbane CBD office market, and builds on the Group’s existing Queensland retail presence including Town Square Redbank, Everton Park and Rothwell shopping centres. Following the acquisition, RCP’s portfolio now comprises office assets in Australia’s four largest commercial real estate markets, Sydney, Melbourne, Perth and Brisbane.
Strategically located at the junction of Edward and Mary Streets, the Property is situated on a sizeable corner site of circa 1,400sqm. Comprising approximately 7,120 sqm of office space, the 17-storey tower has 109 car park spaces and prominent ground floor retail tenancies. The well-presented, column-free building attracts a stable and diverse tenant base from a range of services sectors, and is over 90% occupied. It has also been recently refurbished with a modernised lobby and has undergone lift interior and building services upgrades.
Surrounded by over A$10bn of planned redevelopment and infrastructure spending, the Property sits at the crossroads of the premium ‘Golden Triangle’, upcoming Queen’s Wharf and Eagle Street Pier redevelopments. The opening of the Westin Brisbane less than 100 metres away (4Q 2018), Queen’s Wharf integrated project to the West (from 2022) and the Cross-River Rail’s Albert Street Station a block away (by 2024), are expected to activate footfall and enhance services and amenities surrounding the Property.
Lim Kin Song, Chief Executive Officer of the Group, says: “The acquisition is a timely opportunity to participate in a fast-evolving gateway city in Australia, with a strategically located asset at the centre of major rejuvenation and infrastructure projects. With its recent refurbishment and above average occupancy rates compared to the broader Brisbane B-Grade market, the Property presents substantial underlying value that will allow for the exploration of initiatives to enhance rental income and extract further cost efficiencies given the scale of our portfolio.”
“The off-market transaction in a market with limited direct comparables, also affirms the depth and expanse of RCP’s local business networks, as well as execution capabilities. RCP continues to look for investment opportunities of a similar value-add nature or counter-cyclical propositions, to provide compelling risk adjusted returns for its investor base.”
“As a mid-to-long term investor, RCP maintains a positive outlook for both the Brisbane and broader Queensland markets, particularly given the pipeline of committed infrastructure projects. With a national portfolio of 14 office and retail assets, RCP can also continue to take advantage of varied growth drivers across the major Australian markets that can enable portfolio diversification and counter-cyclical investment, all within one jurisdiction known for its transparency.”
Rob Carter and Mark Russo, Principals of Evolution say: “100 Edward Street has been a leasing success with 25 tenants currently occupying around 95% of the building. The transaction was made possible only through reciprocal respect for each other’s execution capabilities. The Brisbane-based fund and asset management company looks forward to exploring further opportunities with its investors.”