1 Miles Platting Road, Eight Mile Plains
1 Miles Platting Road, Eight Mile Plains. Image supplied.
  • The asset was sold off market by Matt Barker and Blake Goddard of Knight Frank
  • Last asset in Alecon's BTP trust
  • Since inception, $16m in equity has gone into the fund

A private investor has acquired a recently constructed building in Brisbane’s Technology Park for just under $20 million.

The 1 Miles Platting Road in Eight Mile Plains property – which covers 3,118 sqm with 2,808 sqm of net lettable area – was purchased by Southern Cross Group for $19.735 million in an off market deal negotiated by Matt Barker and Blake Goddard, both of Knight Frank.

End of BTP trust

The asset was the last in Alecon’s BTP trust that commenced in 2013. The trust was conceived to capture the demand for quality suburban office accommodation that is affordable while housing high levels of car park spaces and other amenities.

The trust developed two office buildings and sold three Eight Miles Plains development sites, along with four office buildings and a Northshore Hamilton childcare centre.

These assets delivered 21,800 sqm of office accommodation worth around $110 million over the last nine years.

The fund invested $16 million in equity with investors achieving a 2.0 x cash multiple. This return has come about despite not just the pandemic, but also the doubling of market incentives, the 2018 Credit Crunch, a slowdown in China and rising construction costs.

While this brings Alecon’s exposure in the suburb to an end, they will continue to deliver A-grade commercial office accommodation across Robina and Northshore Hamilton.

Recently, the team completed and leased 385 Macarthur Avenue along with the Metricon Building at Robina.

Mr Barker noted it was one of the largest deals to take place in Brisbane Technology Park recently.

“While this property was sold in an off-market deal we had significant interest from several buyers keen to invest in the business park,” he said.

“A majority of investor interest stemmed from the property’s high-profile position, quality tenants, and strong cash flow.”

Mr Goddard added the asset occupied the most strategic location at the Brisbane Technology Park, which spans over 33 hectares and comprises if 45 commercial office buildings housing 200 tenants.

“The development benefits from the existing park amenities such as connectivity to the high-speed fibre optic network, onsite security and proximity to childcare facilities, cafes and restaurants,” he said.

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