Skip Ribbon Commands
Skip to main content

News release


33 Herschel Street in Brisbane sells for $7.2million: Jones Lang LaSalle

​BRISBANE, November 8, 2013 - Jones Lang LaSalle’s Mike Walsh and Seb Turnbull have finalised the sale of 33 Herschel Street in Brisbane’s CBD on behalf of the Residential Tenancies Authority (RTA) for $7,200,000, reflecting an initial yield of 6.67%.

The property was competitively sought with 98 enquiries generated, 19 Expressions of Interest received and ultimately a cash unconditional contract which secured the asset at close of campaign. 

“The asset personifies what the majority of private investors are seeking in the sub $10million bracket, with a focus on; Long WALE, secure lease covenant, CBD location, recently refurbished and future development potential” said Mike Walsh. 

“The lack of formal opportunities available of this calibre, coupled with strong demand from the private investment market, translated to the yield compression we witnessed on this asset with 4 revised bids received at sub 7%” he said.

“Whilst the leasing market and fundamentals remain somewhat challenging, the capital markets are relatively strong and we are starting to see some 'green shoots' and early signs of an improvement in sentiment,” according to Seb Turnbull.

“We continue to experience strong enquiry levels across all formal appointments, highlighting the diverse range of capital seeking investment and development opportunities throughout the Brisbane commercial market,” he said.

“We expect this to continue following the recent change in the federal government, coupled with a historically low cash rate.”

The sale price translated into a rate per sqm (NLA) of $4,116/sqm and a rate per sqm for the site of $7,903.