Located just 2km's west of the Brisbane CBD, the Kings Row Office Park has been sold.
The Kings Row Office Park at 40-52 McDougall Street, has been sold for $98 million. Situated in the inner suburb of Milton, two kilometres west of the Brisbane CBD, the property overlooks the suburb’s main street, Coronation Drive and also the Brisbane River. The vendor, Investa Property Group, is one of Australia’s largest owners and managers with commercial assets of more than $9.4 billion under its wing.
The purchaser has been reported as being the Shayher Group, a private company established in Australia in 1996. It is an affiliate of the Taiwanese based Pau Jar Group, a leading private property developer that specialises in residential development. It is not the Shayher Group’s first Queensland purchase having previoiusly bought 300 George Street for $63 million in 2013, shopping centre, Capalaba Central at $148.5 million and the large inner city development site to be the Hamilton apartments at $12 million.
According to Brisbane Fringe Cityscope, Kings Row Office Park currently comprises five buildings ranging from two to six-storeys. Built between 1854 and 1996 the buildings have a total net lettable area of over 20,000 sqm. Tenants include Sandvik Mining & Construction, John Wiley & Sons and Hanson. The property comes with current development approval for two residential/retail buildings of nineteen and twenty storeys.
The site previously traded in two half share sales, at $31.7 million in 2002 and at $62.25 million in 2008. This sale, at $98 million, represented an initial yield of 8.57% on passing income of $8.4 million.