JLL National Market Wrap
Summary of our most recent transactions June 2020
Level 2 - 3, 29 – 31 Izett Street, Prahran, VIC
JLL’s Matt Szakiel has negotiated 650sqm of office space for new tenant Money Lab to occupy Level 2 - 3, 29 – 31 Izett Street, Prahran.
The 6-year lease on behalf of a private building owner is valued at over $1.5 million.
29 – 31 Izett Street, Prahran is positioned in Grattan Gardens, facing the recently completed Cato Square. The unique warehouse conversion boasts polished concrete floors, high ceilings and an expansive open-air terrace, complete with a unique in-ground red coloured pool. The well-designed warehouse conversion pays tribute to its history by maintaining features from its past life as a toy factory
Ground Floor, 25 Burwood Road, Hawthorn, VIC
The 3.5-year lease on behalf of building owner 25 Burwood Road Hawthorn Pty Ltd is valued at $139,377 gross per annum.
Located adjacent to Hawthorn Train Station, the tenancy has done a refurbishment. The office space features an abundance of natural light and on-site parking for 7 vehicles.
36 Fennell Street, Port Melbourne, VIC
JLL’s Shane Keogh has negotiated 550sqm of office space at 36 Fennell Street, Port Melbourne on behalf of LG.
The 5-year lease on behalf of a private landlord is valued at $160,000 net per annuum.
The property has easy access to a variety of retail amenity with both South Melbourne and Port Melbourne retail precincts nearby.
Woolworths Mt Pleasant, North Mackay, QLD
A private tenant has leased commercial office space in the newly completed Woolworths complex in Mt Pleasant, Perth Western Australia. The $23.5 million project on the corner of Reynolds Road and Canning Highway was completed in Q2 2019 and signifies a surge in demand for commercial office space outside of the Perth City. JLL leasing agents, Ross Skelton and Antonio Trimboli leased 560sqm of the commercial office space within the precinct to a private tenant based in the area.130 sqm of commercial office space remains in the centre, signalling a confidence in the market for top quality office space outside of the Perth CBD.
89 Pirie Street, Adelaide, SA
One of the largest and oldest law firms in South Australia will take up two levels in a newly refurbished CBD office building.
JLL’s Senior Executive for office leasing (SA)- James Parkyn negotiated the lease for levels five and six at 89 Pirie Street, Adelaide for Mellor Olsson Lawyers.
The building known as ‘Pirie House’ is located in the commercial heart of Adelaide and is currently undergoing major upgrades, including installation of new floor to ceiling glazing, new lifts, a new ground floor lobby and café and end-of-trip facilities.
Pirie House has more than 7,000 sqm of office accommodation office flexible space from 150 sqm up to 900 sqm per floor with Pelligra able to tailor tenancies and fitouts to suit.
Mellor Olson Lawyers have arranged an eight- year agreement with a 5 year right of renewal.
157 Holt Street, Pinkenba, QLD
JLL’s Director of Industrial, Brendan Delahunty has finalised a significant 10,000sqm+ lease in Pinkenba in the heart of the Australia Trade Coast precinct.
Sunshine Coast-based manufacturer Octeros Cabinets has leased 157 Holt Street in Pinkenba for a five-year period in what is a significant lease for the area.
157 Holt Street is a three-year old office and warehouse facility sitting on a site area of 1.491ha.
Mr Delahunty said, “The property is outstanding and features a 10,300sqm A-grade office and warehouse facility with a large 1,150sqm awning that provides all-weather loading, which Octeros saw as a positive as they have a high volume of B-doubles to load on the site.
74 Wittenoom Street, East Perth, WA
Ramelius Resources Expands in East Perth, Western Australia
Ramelius Resources Limited, a growing Western Australian gold producer, has leased space at 74 Wittenoom Street, East Perth due to a larger workforce after acquiring Spectrum Metals in February 2020. The 320sqm of office space is fully fitted out to enable Ramelius Resources with the ability to plug and play for an immediate start.
JLL’s Director of Office Leasing WA Ross Skelton said “the ability to offer a fully fitted space assisted the speed in take-up and this is a sector that is continually showing signs of strength within our local economy”. “In recent times, the demand for commodities such as Gold has been bolstered with prices up 27% over the last 12 months. The requirement for space due to the acquisition and growth of the company signals strong confidence in the sector” said Mr Skelton.
In Australia’s largest industrial deal for 2020, a portfolio of four ALDI distribution centres are being acquired for $648 million by a joint venture between Charter Hall and insurance giant, Allianz. The four distribution centres, located in Sydney, Victoria and Brisbane, will be leased back to ALDI Australia.
Mr Iuliano said, “This portfolio owned by global supermarket operator ALDI had all the right investment ingredients – institutional grade distribution centres in the sought after food sector, triple net leases, 7 year lease covenants, and total income of $30.1 million per annum.
91-93 Canterbury Road, Heathmont, VIC
JLL’s Capital Markets Associate and Head of Asia Desk (VIC)- MingXuan Li, brokered the deal for 91-93 Canterbury Road on behalf of a private investor following a competitive Expressions-of-Interest campaign which resulted in more than 75 interested parties.
The 1,672 sqm site has schemes available for mixed-use development comprising 36 apartments, three ground floor offices and basement car parking for 40 vehicles. It is also suitable for townhouses, aged care or childcare redevelopment projects.
91-93 Canterbury Road is opposite Heathmont Village Shopping Centre, occupied by national and local retailers including Priceline, Subway, Bendigo Bank and Bakers Delight.
141-143 Gilbra Road, Girraween, NSW
Mr Jennings said, “The property is situated in a highly strategic location as it provides immediate access to the Great Western Highway and lies within proximity to the on/off ramps to the M4 Motorway. Access to the M7 Motorway and Sydney orbital is also only a seven-minute driveway.”
“141-143 Gilbra Road presents strong development upside and benefits from being situated in one of Sydney’s most established industrial precincts,” Mr Jennings said.
The 712 sqm building site is situated on a 4,564 sqm parcel of land and has a combination of office and warehouse space.
Girraween is located 30 kilometres west of Sydney CBD and is only 10 minutes west of the Parramatta CBD. The purchaser, C1HQ Pty Ltd plans to occupy the premises for their own civil business.
119-125 Hume Highway, Chullora, NSW
JLL’s Industrial (NSW) Senior Director, David Lidgard and Director, Ryan Jennings have successfully transacted 119-125 Hume Highway, following a healthy level of inquiry and a two round Expressions-Of-Interest campaign.
The high-profile site has triple street frontages and is exposed to more than 60,000 vehicles per day.
Mr Jennings said, “Despite the effects of COVID-19, we witnessed strong interest and received 75 enquiries throughout the campaign with two rounds of negotiations.”
The purchaser plans to initially occupy the site and take advantage of the development potential in the future.
119-125 Hume Highway has a building area of 746sqm and a site area of 2,119 sqm. The sale represented building rate of $5,640/sqm and a land rate of $1,985/sqm
29-33 Carter Street, Lidcombe, NSW
JLL’s Industrial Senior leasing directors (NSW) Marco Chiodo, David Lidgard and Executive, Mitch Whiteley have negotiated the lease for 29-33 Carter Street at a rate of $122 per sqm on behalf of YMCI.
The 13,675sqm facility offered drive around access, multiple on grade doors and docks, high clearance warehousing and fitted out office accommodation. The site offer’s 24 hour usage which is patrolled by onsite security.
Located on the northern side of Carter Street, the site is well positioned right next to Olympic park and has immediate access to M4 Motorway and Parramatta Road.
Horizon at Wellington Point Shopping Centre, Brisbane, QLD
The well-established food, lifestyle and convenience-based shopping centre Horizon at Wellington Point in Brisbane’s south west has sold for $14.34 million. The deal was negotiated by JLL’s Joint Head of Retail Investments – Australia, Jacob Swan and Senior Executive - Capital Markets, Campbell Bowers.
The centre was purchased by Ambrose Regional Property Pty Ltd, from owner Eagle Point Investments Pty Ltd. The sale represents a sale rate of $5,480/sqm.
13-17 Main Street, Beenleigh, QLD
Mr Havig said, “The property was well located within the heart of the growing residential, commercial and retail suburb of Beenleigh on Brisbane’s southside.”
473 Lutwyche Road, Lutwyche, QLD
JLL’s Metropolitan Sales & Investments (QLD) have announced the sale of 467 to 473 Lutwyche Road, Queensland for $11.25 million. The sale was closed by Sam Byrne, JLL Senior Executive, and Tim Jones, JLL Associate.
The buyer is a local aged care community and disability services organisation.
Previously occupied by Ladbrokes, the high-profile building provides 1,776sqm of office accommodation over two levels with 60 basement car bays, providing a strong ratio of one bay per 30sqm of NLA.
The corner landholding at 467 to 473 Lutwyche Road is 1,814sqm and the five-storey building enjoys strong development upside.
77 Barker Road, Subiaco, WA
JLL has sold a 3,177sqm inner- metro development site in Subiaco, Perth Western Australia
JLL’s Head of Sales and Investments (WA) – Nigel Freshwater and Director Sean Flynn sold the former supermarket site at 277 Barker Road, Subiaco following a competitive Expressions-of-Interest campaign.
Mr Freshwater said, “The strong result represents a significant uplift on book value and was achieved through a highly competitive public sale process which generated more than 80 enquiries and multiple bids. This can be said to be one of Subiaco’s most coveted and vigorously contested development opportunities.”
642 Newcastle Street, Leederville, WA
The sale of a boutique office building at 642 Newcastle Street, Leederville in Perth Western Australia was completed by JLL’s Director Sales and Investments (WA) – Tom Nattrass and Director Sean Flynn who sold the building on behalf of a local private investor for the first time in 22 years. Mr Nattrass said, “the property was taken to market on 31st March, in the midst of the COVID-19 pandemic here in Perth and the contract was agreed just 14 days later. Both parties acted decisively and despite a number of counter offers the contract was negotiated within a matter of hours.” 642 Newcastle Street benefits from a prominent location on the main thoroughfare of Newcastle Street in the heart of the Leederville commercial precinct, only 2.5km from the Perth CBD and less than 200 metres from the bustling food and beverage strip. “642 Newcastle Street in Leederville is a great asset that will hold its value into the future and in years to come will lend itself to a redevelopment” said Mr Nattrass.
41 Miguel Road, Bibra Lake, WA
JLL Industrial Agents, Jeremy Parasiliti and Nick Goodridge sold 41 Miguel Road, Bibra Lake, Perth Western Australia via a competitive ‘Offers Invited’ campaign and received a number of offers throughout the campaign.
this office/workshop facility in the heart of Bibra Lake which due to the underdeveloped nature of the property presented a value-add opportunity to the buyer.
JLL’s Head of Industrial WA, Nick Goodridge said “this transaction reinforces the underlying demand and high levels of liquidity we are currently experiencing in the Perth industrial sector. The property presented an opportunity to acquire an underdeveloped site with value-add and development potential.
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