- Centuria Capital Group has secured a new $500 million institutional investment mandate on behalf of a significant US private investment firm.
- An Ipswich development site was sold for $2.5 million.
- A Melbourne BTR development has come to market.
From building plans to build to rent, today is a plethora of property. In today’s mix is the lodgement of a DA for an Adelaide development, the sale of an Ipswich site, along with the listings of a build-to-rent project and a St Peters site.
New $500M institutional investment mandate for CNI
Centuria Capital Group (ASX: CNI) has secured a new $500 million institutional investment mandate on behalf of a significant US private investment firm. Known as Last Mile Logistics Partnership (LMLP), the mandate will focus on acquiring assets within supply-constrained infill industrial markets across Australia.
The partnership is seeded with a $76 million three-asset portfolio, with the properties located within key urban Melbourne industrial precincts. All assets were transacted off-market and settled on 8 September 2023.
LMLP is the second industrial institutional capital partnership secured by Centuria in the last 12 months.
Citify lodges DA for Gilberton site
South Australian developer, Citify, has lodged a development application for a vibrant $150 million mixed-use precinct, delivering housing, retail, and officers across a 6,200 square metre site behind the heritage-listed Buckingham Arms hotel, Gilberton, which will be restored under the project.
The proposed development will be known as The Buckingham and is located just three kilometres from the Adelaide CBD. The project includes a 10-storey apartment building comprising 180 apartments, including specialist disability accommodation, and 1,230 square metres of ground floor retail space.
Townhouses are earmarked for the property’s northeastern interface and 1,630 square metres of office/commercial space is planned for the northern portion of the site, off Northcote Terrace.
School purchases development site for $2.5M
A private school has acquired a neighbouring Ipswich development site for $2.5 million.
Located at 124-128 Alice Street in Goodna, the 1.96-hectare development site was marketed by Ray White special projects agents Christopher Czernik-Wojcicki and James Hanley.
Previously owned by two local investors, the site was designated residential low-density and had preliminary conceptual plans for a 32-lot residential subdivision project. However, it was snapped up by Northside Christian College for the future expansion of their current facility.
“The campaign generated 83 direct enquiries which encompassed a wide mix of purchaser types including local investors, private developers, development syndicates, childcare developers as well as the neighbouring school,” said Czernik-Wojcicki.
“We received seven formal written offers to purchase, with a wide mix of both price and terms offered.
“The end purchaser lodged a strong cash unconditional offer, with terms which were very appealing to the vendor.”
Hanley added that: “Infill development sites are scarcely available throughout the broader south east Queensland region at present. The purchaser has an excellent reputation as a leading education facility through the Ipswich Region, and we look forward to following their plans for the site.”
Completed BTR development listed
A completed built-to-rent development in the inner city Melbourne suburb of Spotswood is being offered to the market.
Located at 31-69 McLister Street in Melbourne’s inner southwest, Union Quarter is being sold via an international expressions of interest campaign, run by Knight Frank agents Langton McHarg, Stephen Kelly, and Tim Holtsbaum, in conjunction with Conal Newland and Paul Savitz of Savills.
The property is a mixed-use BTR development comprising 332 apartments with supplementary retail including a full-line Woolworths, Dan Murphy’s, a medical centre, a chemist, specialty shops, a restaurant, and extensive basement parking.
“With a chronic undersupply of rental accommodation in Australia, more build-to-rent projects are needed in Australia, and investor appetite for these assets is strong, both domestically and from overseas capital,” said development director, Zoran Pavlovic.
“Union Quarter is nearing completion, eliminating any development risk for an incoming purchaser in a market where construction costs are escalating, and feasibility metrics are tightening for many BTR projects.
“This defensive asset enables investors to enter the tightly-held rental market to take immediate advantage of both income growth and future capital growth and secure an asset below replacement cost.”
Spotswood has a highly competitive and tight rental market, with vacancy at a record low of 1.1% according to SQM Research, and forecast low levels of residential supply will help sustain occupancy and future rental growth.
Vacancy rates for 3015, including Spotswood
Sydney period cottage and warehouse come to market
A unique offering in St Peters, featuring a period cottage and freestanding warehouse has come to market.
Located at 11-17 Hutchinson Street, the 824.76 sqm property is expected to fetch between $5 million to $10 million.
The property is being marketed by RWC South Sydney agents John Skufris and Anthony Vella on behalf of a private investor who recently obtained development approval for the site.