US-based global fund buys Laing O'Rourke Fortitude Valley office tower for $124.6 million
US unlisted property trust Hines Global REIT has acquired the commercial office tower in Laing O'Rourke's 'McLachlan & Ann' mixed-use development at 825 Ann Street in Brisbane’s Fortitude Valley for $124,667,820.
The sale was negotiated by Jones Lang LaSalle’s Geoff McIntyre and Seb Turnbull.
McIntyre said the sale of 825 Ann Street was the largest near city transaction for 2012/2013 setting a new benchmark for the Brisbane near city market.
“Importantly, 825 Ann Street is the fifth $100 million plus transaction to occur in Fortitude Valley, further cementing the precinct as a core investment market and Brisbane's premier near city office market.”
“The entire McLachlan & Ann (M&A) development consists of an 11 level office tower with ground floor retail (being 825 Ann Street), a retail strip fronting the corner of McLachlan and James Streets, and a residential apartment development consisting of over 200 apartments.
"The completion of 825 Ann Street will see Fortitude Valley reach a total size of 460,000sqm (37% of the total near city market*) and is now a market of critical mass,” said Turnbull.
McLachlan & Ann has a minimum targeted 5 Star NABERS energy rating for the base building.
Hines Global REIT was launched in August 2009 and has a US$2.4 billion portfolio of investments in 17 locations in the US, the United Kingdom, Poland, Russia and Australia.
Its other Australian acquistions are 100 Brooks Street, leased by engineering Bechtel in Fortitude Valley and 144 Montague Road, leased by engineering firm Ausenco.
It forms part of the Hines property development and management group founded by Gerald Hines in 1957.
