Skyscraper for sale Brisbane CBD

[coastal]

http://www.realcommercial.com.au/property-offices-qld-brisbane+city-501109743

Anyone keen on buying this?

Would this be a $50 million deal?

 

[Scott No Mates]

I would hazard a guess at a cap rate in the high 5's-low 6's -

Annual net rent is roughly $12.75m (@ $500/m2 conservatively),
so capped at 5.75% MV = $220M
applying a 6.25% cap, MV = $200M

Keep dreaming, but if you get it for $50M, I will pay you double the next day

 

[chindonly]

Agree - way more than $50 Mill!

It's the old State Law building. Commonly called "Gotham City".

 

[keithj]

According to Canberra Times

The 25-storey tower was purchased by Harburg Investments in 2008 for $91 million from Investa Properties.

 

[coastal]

well I was way off

 

[DaveM]

Any brokers that can do that at 95% + cap LMI and a 20k visa?

Put a granny flat at the side for extra yield

 

[D.T.]

Any brokers that can do that at 95% + cap LMI and a 20k visa?

Put a granny flat at the side for extra yield

Attach a granny flat to each storey

 

[tess85]

Nah, rent out by the room to students

Floor area 25,519 m^2

Investors sometimes put 3 students in a 3 bedroom GF so assuming 20 m^2 per student..., that's 1200+ students.

Edit: Woah, just looked at the annual rent... ok scrap this idea.

 

[Hodge]

What would the settlement period for this purchase be?

 

[HeadsOnBeds]

What would be involved in owning this. I assume you lease out through normal agents, employ cleaners, security but do you also employ people to manage the building. If so how many and what do they do?

I'll start saving my pennies!

 

[DaveM]

Why would silly resi investors muck around in the mud with their by the week entitlement driven tenants when one can simply put down a $60 million deposit and buy that with none of the headaches of resi property management?

 

[The Y-man]

What would be involved in owning this. I assume you lease out through normal agents, employ cleaners, security but do you also employ people to manage the building. If so how many and what do they do?

I'll start saving my pennies!

You might be able to get involved for a lot less money thank you think if a prop trust gets hold of it (like Investa before the current owners).



As an illustrative example of your query re running costs etc, there is a (now closed to new investors) building going up in Box Hill (Vic) at present (those that know the suburb can't miss it). It is a $124 million project (to build - breakdown on 28) and will be predominantly occupied by the ATO (lease agreement outlined on p42. Forecast for rent/outgoings etc on p 29.

http://www.cromwell.com.au/sites/default/files/resource/files/BoxHill PDS (18 December 2012).pdf

Note the minimum investment required as $10k and any additonal in $1k blocks.

The Y-man