Malaysian developer <a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> is the latest to jump into St Leonards booming Transport Oriented Development precinct.

The developer, which has previously delivered Sapphire by the Gardens apartment development in Melbourne, identified the Atchison Street site in 2023. It filed a Scoping Report around 12 months ago, and now has revealed the designs for the new&nbsp;40-storey mixed-use tower.

The State Significant Development Application covers <a href="https://next-portal.urban.com.au/projects/14650/summary">20-22 Atchison Street</a>, a 1,374 sqm site positioned between St Leonards Station and the new Crows Nest Metro station.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the project would deliver 181 apartments, above a four-storey commercial podium, five basement levels, and new public domain works along Mitchell Street. The apartment mix comprises 35 one-bedroom apartments, 39 one-bedroom-plus-study apartments, 85 two-bedroom apartments, and 22 three-bedroom residences.

The proposal has been lodged as a shop-top housing development under the NSW Government’s TOD planning pathway, which allows increased density around key transport infrastructure. The site sits within the recently rezoned Crows Nest Accelerated TOD Precinct.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b799673d-48e2-46b0-801a-0e33a9330100" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20site.png?VersionId=dPh0UfwfaHpbFL1R7H1cbZNbIW0CHbCC" />

SP Setia acquired the Atchison Street site as part of its continued expansion into the Australian apartment market. In comments made to City &amp; Country (The Edge Malaysia) in 2023, SP Setia President and CEO Datuk Choong Kai Wai described the acquisition as “a strategic move” aligned with the group’s post-pandemic market recovery strategy.

“Our target for this exceptional development is local and overseas buyers, including first-home buyers, downsizers and investors,” Choong said.

The tower has been designed as a slender vertical form rising from a mixed-use podium, with COX Architecture positioning the development as a response to the evolving St Leonards and Crows Nest skyline.

“The purpose of the project is to facilitate the delivery of high-quality housing at a strategically located site and deliver a built tower outcome that is consistent with the desired future character of St Leonards and aligns with the TOD controls,” the design report stated.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b1a85eee-76f7-436c-a6da-73ba827b9b13" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20entry.png?VersionId=dA9jHGPMcm.dDbwk4QfxqWiY5bfh3UVt" />

The podium would incorporate retail uses fronting Atchison Street, commercial tenancies, landscaped communal areas, and pedestrian improvements along Mitchell Street. Vehicle access and loading would be consolidated via Atchison Lane.

Residents would have access to more than 665 sqm of communal indoor and outdoor spaces, while the development proposes 96 parking spaces across five basement levels.

The proposal also includes a commitment for 10 per cent of residential floor space to be allocated toward affordable housing through a monetary contribution.

COX said the tower form responds directly to the emerging high-density character of the precinct while seeking to maximise solar access, cross ventilation, and outlook from apartments.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="2163f85c-f63b-4be3-aafa-f8763976cec5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Article%20Feature%20Image%20%28Grid%29_5.png?VersionId=WiAmtIKJ6.ZQ41EtYEQ1fol7AeorKBlL" />

“The building is orientated towards north,” the Apartment Design Guide compliance report noted, adding that the tower’s slim form was driven by the constrained inner-urban site dimensions.

The design also incorporates landscaped setbacks and communal open space at podium level, intended to soften the interface with surrounding streets and improve pedestrian amenity.

The project adds to a growing wave of redevelopment proposals reshaping St Leonards and Crows Nest following the opening of the Sydney Metro City line and the NSW Government’s push for higher-density housing around major transport nodes.

Last week Stockland filed plans just down the road. They want to build a <a href="https://www.apartments.com.au/new-apartments/601-pacific-highway-st-leonards-nsw-2065">52-storey tower on Pacific Highway</a>.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">First look: Stockland plans 52-storey, 538-apartment St Leonards tower&nbsp;</a>

Joel Robinson

First look: SP Setia targets St Leonards skyline with 40-storey TOD tower

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> has revealed plans for a new mixed-use tower at 10 Dangar Street, Wickham, advancing a proposal that would reshape the southern gateway to Newcastle’s city centre with one of the city’s tallest residential buildings.

The State Significant Development proposal, now on exhibition, seeks approval for a <a href="https://www.apartments.com.au/new-apartments/bowline-10-dangar-street-wickham-nsw-2293">43-storey tower</a> immediately adjacent to the Newcastle Interchange. The project would deliver around 200 apartments, including 42 affordable housing dwellings, alongside 99 co-living units, a 171-room hotel, retail space, and new public domain integrated through the site.

The scheme marks a significant escalation of plans previously approved for the site. Urban Property Group took over the prominent 2,904 sqm parcel, where excavation and demolition had already commenced under an earlier consent for a 14-storey mixed-use development.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="58a96dd9-407f-4d20-86b4-94e4bfeef74b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20podium.png?VersionId=LGlf08pdFGAZDzvx_CXC4XakHNZRuEE0" />

Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, the tower has been conceived as a landmark transit-oriented development anchored to the Newcastle Interchange precinct. The proposal includes 245 build-to-sell apartments across a mix of one, two, and three-bedroom residences, as well as two penthouses. Fifteen apartments and one operational unit are earmarked for NDIS housing. The co-living component would add a further 99 units, while the podium would accommodate retail uses and hotel facilities.

SJB said the site presents “a valuable opportunity to anchor the precinct by setting the standard for design, active ground planes and character at the key southern gateway.”

The architecture responds directly to the site’s position beside major transport infrastructure and within one of Newcastle’s fastest-evolving urban renewal precincts. The tower form sits above a sculpted podium designed to frame new public spaces, including a through-site pedestrian link connecting Station Street to Hannell Street, landscaped plazas, and activated retail edges.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="a7bd6ff0-f7db-4ce8-a6dc-ea56e72c6149" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20lanne.png?VersionId=xzf39VADyhj7zBQY2I9fx9vI62u2tuSb" />

The design report describes the project as part of the broader transition of Wickham into “a vibrant, high-quality mixed-use urban precinct” that leverages proximity to the station, open space, and regional connectivity.

A detailed public art strategy has also been prepared for the development. The strategy positions the project as “a transit-oriented development of state significance at the gateway to Newcastle’s city centre” and outlines a series of integrated artworks responding to Newcastle’s industrial and transport heritage.

Creative Road’s curatorial framework for the project, titled Unveil, draws on “stratified surfaces, carved volumes, and light-filled apertures” while referencing Newcastle’s transformation from an industrial city into a contemporary education and technology hub.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="77a882bb-14b1-4d28-99ff-9438e39508c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20site.png?VersionId=cevgo_vN0eKPK78P8YcEu3mKPLkpFqE7" />

The proposal is being advanced through the NSW Housing Delivery Authority pathway after being declared State Significant Development in June 2025. The accompanying scoping report states the development aims to “maximise the site’s proximity to the Newcastle Interchange by delivering transit-oriented development” while increasing housing supply and affordable housing provision within the Newcastle LGA.

Urban Property Group’s plans align with the long-term strategic vision established under the Wickham Master Plan, which identified the interchange precinct as suitable for substantial uplift in height and density. The current proposal would significantly intensify that vision, positioning the tower among the tallest developments proposed for Newcastle.

The site sits immediately north of the Newcastle Interchange, bounded by Dangar Street, Hannell Street, and Charles Street. It is surrounded by a rapidly growing cluster of residential towers and mixed-use projects that have emerged following the completion of the light rail and transport interchange.

First look: Urban Property Group unveils Newcastle’s latest tower at Wickham interchange

Bottega House has completed settlement of a landmark riverfront site in Macquarie Street, St Lucia, representing its first major Brisbane development.&nbsp;

Positioned on the banks of the Brisbane River, the <a href="https://www.apartments.com.au/new-apartments/180-macquarie-street-st-lucia-qld-4067">premium site at 180 Macquarie Street</a> features uninterrupted river frontage in one of Brisbane’s most tightly held residential precincts.&nbsp;

The proposed development, currently under assessment with Brisbane City Council, has been designed by <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/mim-design">Mim Design</a> and will deliver a boutique collection of premium residences positioned specifically for owner occupiers and downsizers.&nbsp;

The residences are set to redefine luxury apartment living in the area, with a focus on architectural quality, refined finishes, landscape integration and elevated amenities including curated wellness facilities, resort-style pools and recreation spaces rarely seen in the local market.&nbsp;

Exclusive sales for the project will be led by Keenan &amp; Byrne, ahead of an anticipated launch later this year.&nbsp;

Bottega House Managing Director Nick Malloch said the project reflects the group’s ambition to deliver a highly curated residential offering within one of Brisbane’s most tightly held precincts.&nbsp;

“This is an incredibly rare riverfront opportunity and one we have approached with a long-term perspective,” Malloch said.&nbsp;

“Our vision from the outset was to create a boutique collection of residences that feel more like private homes than traditional apartments, with generous proportions, refined finishes and exceptional amenity throughout."

Malloch says there is a&nbsp;lack of premium owner-occupier stock of this quality in the market, particularly for downsizers wanting space, privacy and a true lifestyle offering without compromise.&nbsp;

"Demand is expected to be strong given the scarcity of premium riverfront opportunities of this nature within Brisbane’s inner-west."&nbsp;

Bottega House secures landmark riverfront site in St Lucia 

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The arrival of the first piling rig officially marks the commencement of construction at SIERA’s new beachside apartment development, Exhale, in Northcliffe.

<a href="https://www.apartments.com.au/new-apartments/exhale-surfers-paradise-8-enderley-avenue-surfers-paradise-qld-4217">Exhale</a>, a glass-encased tower featuring 54 large-scale apartments at 8 Enderley Avenue, is SIERA’s third Gold Coast development. It follows the recently completed PIPIS Bilinga beachfront project, which achieved suburb-record prices, and the soon-to-be-completed Chevron Island development, Tapestry.

[smartcode_project:default project_id=112661 project_image_fid=359603]

<a href="https://www.apartments.com.au/developers/siera">SIERA</a> Founder and Managing Director Brent Thompson said the arrival of the piling rig represented a significant milestone for the development, which is scheduled for completion in late 2028.

Over the next month, around 260 piles are expected to be installed as work progresses on the basement structure. The building is anticipated to rise above ground level early next year, before unveiling its sculptural glass curtain wall, developed in collaboration with specialist façade engineers.

“The façade was designed to maximise panoramic coastal views while creating a distinctive architectural identity,” Thompson said.

[smartcode_project:default project_id=112661 project_image_fid=355935]

Designed by BDA Architecture, Exhale will comprise just 54 two- and three-bedroom residences across 26 levels, a level of low-density living rarely delivered in this beachside pocket between Surfers Paradise and Broadbeach.

The project has been conceived as a resident-only building, with no short-stay accommodation permitted. SIERA says the model is intended to appeal to long-term owner-occupiers rather than transient holiday demand.

[smartcode_project:default project_id=112661 project_image_fid=361052]

Residences have been designed with large-format layouts and expansive glazing, with most apartments featuring more than 30 metres of glass frontage to maximise natural light and ocean views.

The amenity offering spans two levels and centres on wellness and lifestyle, including a heated magnesium pool, sauna, yoga and Pilates studio, gymnasium, private dining facilities, cinema lounge, and dedicated surfcraft storage.

[smartcode_project:default project_id=112661 project_image_fid=359607]

More than half of the apartments have already sold. SIERA has also opened a sales gallery for Exhale at its Chevron Island commercial premises, near its Tapestry tower and the site of its second Chevron Island apartment development, which is slated to launch in early 2027.
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[smartcode_project_cta:default project_id=112661]

SIERA kicks off construction at Northcliffe tower Exhale

Local Little Bay residents, along with buyers from premium postcodes across Sydney’s affluent Eastern Suburbs, have dominated purchases in developer-builder Urban Property Group’s first Eastern Suburbs apartment development, <a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a>.

The $250 million coastal project, one of the first new developments in the area in several years, has proven particularly popular with downsizers, especially those from Coogee and Bondi. One Double Bay downsizer paid $4.7 million for a four-bedroom penthouse, setting a new local apartment price record in the process.

Buyers have been attracted to the combination of coastal tranquillity, premium design and amenity-rich neighbourhood living. The walkable village setting, along with proximity to three of Sydney’s leading golf courses, New South Wales Golf Club, St Michael’s Golf Club and The Coast Golf Club, has also been a key drawcard.

[smartcode_project:default project_id=112343 project_image_fid=352689]

Built across two low-rise buildings designed by <a href="https://www.apartments.com.au/architects/hill-thalis-architecture-urban-projects-pty-ltd">Hill Thalis</a> and set along a lush, landscaped green spine, designed by leading landscape architect <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>, ESTE Little Bay offers a collection of one, two, three and four-bedroom residences with interiors by Richards Stanisich.

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> Sales Director, Tom McIvor said the response to ESTE has been "nothing short of extraordinary."

“Buyers have been quick to recognise ESTE as a rare opportunity to invest in a coastal sanctuary that offers both seclusion and connectivity to the heart of Sydney,” McIvor said.

[smartcode_project:default project_id=112343 project_image_fid=352687]

<a href="https://www.apartments.com.au/project-marketer/srm-residential">SRM Residential</a> Senior Director, <a href="https://www.apartments.com.au/project-marketer/srm-residential">Clayton Ross</a> said the local market has responded incredibly well, driven by ESTE’s exceptional location and the rarity it offers.

“We’ve seen strong interest from a variety of buyer groups, all of whom are drawn to the exclusivity and quality of the build and construction by the 4.5-star iCIRT-rated builder / developer, Urban Property Group. There’s truly nothing else like it along Sydney’s coastline.”

[smartcode_project:default project_id=112343 project_image_fid=352690]

The project also includes robust buyer protections, including Resilience Insurance’s Latent Defects Insurance, providing 10 years of structural cover, and an independent iCIRT-rating of the developer.

“The iCIRT-rating adds another layer of confidence,” Ross added. “Buyers see it as a safeguard for their investment and their lifestyle.” A highlight of ESTE’s offering is its exclusive wellness amenities, including a heated rooftop infinity pool and outdoor heated spa, a state-of-the-art Technogym fitness centre, and a sauna.

<a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a> is topped out and is on track to complete towards the end of 2026, with residents moving in before Christmas.

[smartcode_project_cta:default project_id=112343]

Eastern Suburbs buyers snap up ESTE Little Bay apartments

Office

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Serviced office space provider Servcorp has signed onto a floor of the landmark One World Trade Centre, which is currently under construction in Manhattan.
Servcorp took a 15-year lease on the 85th floor, its fourth Manhattan site. 
Servcorp's three Manhattan locations are in 17 State Street, 1330 Sixth Avenue, and 375 Park Avenue.
The Australian company, which operates serviced and virtual office space across 136 floors in 52 cities in 21 countries, last week reported a rise in net profit for the year.
The group expects to increase net profit by 15% in 2015.
Globally the floors are 79% occupied, just below the 85% figure they view as optimal. 
"We’re 90% occupied in the US,” Servcorp chief operating officer ­Marcus Moufarrige told Fairfax Media.
The 3,230 square metre floor in One World Trade Centre would be the only serviced offices available within the building to be anchored by publisher Condé Nast.
It is reportedly expected to spend $1.8 million fitting out the 85th floor.
The new tenant brings One World Trade Center to almost 57.5% leased, ahead of its expected opening in late 2015.
The building, set to be the tallest in the Western hemisphere, is being developed as a joint venture between The Port Authority of New York and New Jersey and the Durst Organisation.
They were recently forced to cut rents in the middle floors to $69 per square foot.
The upper floors have $75 to $100 per square foot asking prices.
The <a href="https://online.wsj.com/news/articles/SB10001424052702303903304579586270070420060" target="_blank" style="line-height: 1.3em;">Wall Street Journal reported</a> when the middle-floor rents were cut in May that the $3.9 billion project "has little hope of proving to be a good financial investment in the short-term".
 
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Servcorp secures New York One World Trade Center office space

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Capital values for office property in Australia’s major cities will rise as tenant demand increases and investors becoming more willing to accept lower yields, experts have forecast.
Competition for commercial properties in Australia is already strong with institutions such as sovereign wealth funds from Europe and Asia, real estate investment trusts and foreign private investors drawn to the markets by higher yields than available elsewhere.
“That influx [of investors] is really chasing high sustainable yields particularly in the office market,” Australian Unity head of property funds Mark Lumby said.
Office assets in Australia’s capital cities are producing yields of 6.5% to 7.5%, whereas similar assets in cities such as London, England yield only 3.5%, Lumby said at the manager’s quarterly outlook presentation to financial planners last week.
When global property market recover following economic downturns, yields on properties in gateway cities such as New York and London fall, and capital values rise, before that happens with similar properties in Australia and Asia, he said.
“Australian cities are late recovery markets and they will follow the gateway markets ... There’s still a lot of room for Sydney and Melbourne [office property yields] to tighten and as they tighten property prices will increase.”
Factors such as increasing supply and low tenant demand due to the weaker economy over the past few years had limited capital values in Australia’s cities, Lumby said.
However, foreign owners such as <a href="/news/the-ngs-singapores-richest-family-spend-425-million-on-sydney-trophy-property">Singapore-based Far East Organization have been buying office buildings in Sydney and Melbourne</a> and converting them into residential apartments. 
“By converting office space to residential they are effectively taking some stock out of the market and that’s keeping a lid on vacancy rates,” he said.
Vacancy rates nationally for office buildings are 10.7% on average, ranging from 8.4% in Sydney to 14.7% in Brisbane.
“As we see tenant demand come back from office tenants we should see some good growth in capital values from office,” Lumby said.
His views are echoed by forecasts made by Colliers International in its second half Research and Forecast Report for CBD office, released last week.
Colliers International predicts that based on new supply, withdrawals, pre-commitments, backfill and demand, the Sydney CBD office market is experiencing a prolonged recovery in vacancy rates.
Vacancy rates in Melbourne’s CBD office market fell in the first half of 2014, but Colliers believes this is only temporary as 67,000 square metres of new office space will be completed in the second half of the year which will push vacancy rates higher.
Despite the forecast increase in vacancy rates, Colliers International predicts strong rental growth for offices in Melbourne’s CBDs, or around 3.7%.
Sydney's market is expected to have the strongest rental growth with of 7.7%, driven by growing demand from information technology and telecommunication companies.
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Foreign investors chasing high yields set to drive office capital values higher

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No longer are Australia's main capital cities' office markets in sync.
During the last century, the CBD markets seemed to operate within a fairly regular 18-year cycle — in other words, from "peak to peak".
However, all at ceased when the global financial crisis hit in 2008.
In the lead up to that, developers in Sydney and Melbourne had predominantly undertaken projects with significant tenant pre-commitments.
Brisbane and Perth had seen a huge amount of speculative development occur — driven by the hype of the mining boom.
<img src="https://his-best.biz/assets/2014/08/CBD-Offices.jpg" alt="CBD-Offices">
Source: Property Council of Australia, via Fairfax.
The Wash Up?
As the table above confirms, there is now a massive disparity between the various capital city office markets.  
<blockquote>
Sydney and Melbourne were the only cities to improve their vacancy.
</blockquote>
As you can see, the latest PCA survey shows Sydney and Melbourne were the only cities to improve their vacancy for office space, over the past six months.
For Brisbane and Perth, vacancy rates have clearly blown out, while demand is actually falling.
Over the period, you saw the vacancy rate for Sydney decline from 9% to 8.4%. Similarly, the rate for Melbourne dropped from 8.7% to 8.5% and sits at around just 4%, for Docklands.
The Mining States
By contrast, the vacancy rate in Brisbane rose from 14.2% to 14.7%. It will most likely hover around this level for the next few years.
The Perth market is not far behind — with its vacancy rate rising from 9% to 11.8%, over the past 6 months. As with Brisbane, demand for space has declined; and Perth's vacancy rate may creep even higher, over the next few years.
Looking Forward
Since late last year, the Sydney and Melbourne markets have certainly improved. And you are already seeing major investment from overseas buyers — keen to capitalise on the upturn, and rising prices.
Unfortunately, Brisbane and Perth are probably lagging between three to four years behind — because of the huge amount of vacant space needing to be absorbed.
Bottom line: You can expect the Sydney and Melbourne office markets to grow solidly over the next four or five years — and are likely to peak around 2019/20.
That may well be the time for you to switch your investing to Brisbane and Perth — as they will then be enjoying their recovery phase.
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There are now massive disparities between capital city office markets

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Swann House at 22 William Street, Melbourne, has been sold by Kliger Wood Real Estate for $21.6 million.
Chinese interests secured the property after 140 plus enquiries were received from Asian, Middle Eastern and local investors.
Kliger Wood director Eugene Wood says the purchaser was a Chinese group with other recently acquired holdings in the Melbourne CBD.
The 10 level commercial office building on the corner of William Street and Flinders Lane has a gross building area of 7,000 square metre with a net building area of 5,700 square metre.
The building, which is about 90% leased at present to show a net income of $1,328,000, was marketed with potential hotel or residential conversion.
Eugene Wood gave no indication on buyer intention.
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Swann House, Melbourne sold for $21.6 million to Chinese buyers

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Five office buildings have been sold by Golder Associates across three states, securing almost $20 million, in an effort to take advantage of a "hot commercial market" and to sell non-core assets.
The employee-owned company provides independent consulting, design and construction services.
The buildings, in New South Wales, Queensland and South Australia have seen Golder Associates lease back their premises, achieving 9.2% yields.
Colliers International portfolio coordinator, Rob Joyes, said that the Austerra Holdings Portfolio, which was sold on behalf of Golder Associates, was handled by a number of selling agents including Jock Murray, Ian Thomas, Chris Veitch, Jay Beattie and Nick Dowling.
The 212-216 Draper Street, Cairns, two-level office building sold for $1,425,000. It had an NLA of approximately 590 square metres and attained a 9.1% yield.
In MarOochydore, Queensland, 55 Kingsford Smith Parade, a two-level office and laboratory building, sold for $1.75 million. It was on a 9.25% yield, and included NLA of approximately 540 square metres on a 728 square metre site.
Toowoong, Queensland, 611 Coronation Drive included a freestanding two-level office building that sold, with vacant possession, for $5.1 million. It had a total NLA of 1,779 square metres and included 37 car parking bays.
A refurbished three-level office building at 124 Pacific Highway, St Leonards (pictured above) in New South Wales secured $9.6 million and a 9.2% yield. It had an NLA of approximately 2,124 square metres and total land of 1,232 square metres.
Their last offering, a South Australian office, warehouse and laboratory on 199 Franklin Street, Adelaide, sold for $1,825,000 with vacant possession.
“A number of major corporates are selling their real estate to put the money back into their operating business and we think this trend is going to continue,” said Joyes, of what he considers to be a trend of owner-occupier commercial sellers.
“One of the great benefits of a sale and leaseback transaction is the ability for the owner-occupier to increase their financial flexibility,” he said.
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Golder Associates sells five office properties for nearly $20 million in total

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A five year lease of 1,466 square metres of additional space has been agreed to at 20 Windmill Street by Dentsu Aegis Network (Aegis).
Aegis had already been occupying 4,578 square metres over three floors at the site. Savills Leasing's Jonathan Kearins brokered the extension deal.
Rents are understood to be circa $580 to $700 per square metre net at 20 Windmill Street. Next door Barangaroo rents are said to be $900 to $1,100 per square metre net.
Aegis’ current lease was due to expire in March 2015.
“It was an excellent result for both the tenant and the landlord that this additional floor became available for lease,” said Kearins.
The building is called Bond One and is an A grade office building built in late-2008, including 9,150 square metres of space and 175 car spaces.
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Aegis leases additional Walsh Bay office space

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CBD office markets in Australia are still seeing substantial foreign investment interest, with sales to foreign investors recently topping their 10 year record, according to Savills.
Approximately $12.8 billion of office sales, including those outside the CBD, were recorded in the 12 months to June 2014. Foreign buyers were responsible for 39% of the sales - $5 billion, explains Savills national head of research Tony Crabb who compiled the information.
<img src="/images/2014/08/06/savills-aug-6-one.gif" alt="">
During the 12 months, 246 properties were purchased. In the 12 months prior, the total was 199, and the five year average was recorded as 191.
Of $6.8 billion of CBD office transactions nationally, foreign investment totalled 47% of the purchases, or $3.2 billion, with much of the capital coming from Europe and South East Asia, as well as Mainland China.
<img src="/images/2014/08/06/savills-aug-6-two.gif" alt="">
Savills International Investments’ Ben Azar said the results were positive for the market.
“This is a very good sign for the Australian property market and as a result in key markets such as Sydney and Melbourne we anticipate further yield compression particularly in respect to quality long leased landmark assets,” said Azar.
"With such a depth of buying power we expect the off-shore capital to become even more competitive over the balance of 2014," he said.
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Australia’s CBD offices maintain place on foreign investment radar

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A new record land rate for North Melbourne, of $6,358 per square metre, has been set by a Chinese buyer who paid $13.2 million for an office building on the edge of the CBD. This totaled 32% over reserve, according to Savills Australia selling agents Clinton Baxter and Nick Peden.
The property, 13-21 Bedford Street, was owned by Engineers Australia and is currently leased to six tenants totaling 52%.
It is a 2,219 square metre building on 2,079 square metre site. It is zoned mixed use, which has the potential for development of up to 24 metres or approximately eight levels.
It isn’t clear what the buyer intends to do with the site in the long-term, however redevelopment is a clear option. In the short to medium term, the property will be leased.
“The price of $13.2 million reflects a new land value record for North Melbourne of over $6,000 a square metre and is an indication of the immense competition for high quality properties with strong development fundamentals,” said Baxter.
In total, the campaign attracted 125 enquiries and 29 inspections.
There were then 11 expressions of interest, and Peden notes that the top three buyers were off-shore located.
“We have had enormous enquiry from off-shore buyers for similar properties with development potential and so it was no surprise that there was such strong foreign interest in this property,” he said.
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Chinese buyer pays 32% over reserve, a record land rate, for North Melbourne office site

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A B-Grade Sydney CBD office has been leased to Petrofin International as they grow their Australian operations.
CBRE’s Jamie King leased the 495 square metre 14th level office on behalf of lessor AIHL Properties Australia.
It is located at 189 Kent Street, and Petrofin International has committed to a seven-year term for an initial rate of $485 gross per square metre.
The national property representative for the client, Corporate Relocations, handled the negotiation for Petrofin. Their brief was to have all the staff on one level, and being close to Barangaroo was seen as a benefit.
“Petrofin was attracted to the building's central position in the CBD, as well as the building's recent refurbishment, which included upgrades to the lobby and lifts,” King said.
“Flexibility with the incentive structure also contributed to the successful conclusion of negotiations.”
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Petrofin Inernational leases Sydney CBD office

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Raffles Assets Australia, a subsidiary of Singapore’s Raffles Education ­Corporation, has bought in Parramatta.
Their $29 million purchase which will assist the renaissance of the precinct, is a six-storey office building at 1-3 Fitzwilliam Street.
It sold vacant possession opposite Parramatta Train Station and the Westfield shopping centre through Arland Domingo and Peter Hanzis of Knight Frank.
It was last sold in late 2010 by Trinity Property at $28.3 million representing an initial yield of 9.15% when occupied by the NSW Office of Fair Trading on leases until May 2013, returning net income of $2,509,434 per annum.
Enterprise House was bought in 2010 by Action Office Pty Limited, of the Chandru Tolani property investment group, which paid $18 million in late 2012 for nearby 16-18 Wentworth Street property whose tenants included the Australian Vocational Learning Centre Pty Ltd.
Raffles Education Corporation is the largest private education group in Asia Pacific, according to its website.
The property will be redeveloped as a permanent campus for the company’s college in Sydney, the Raffles College of Design and Commerce – which currently operates out of leased premises.
The building with a net lettable area of 9,782 square metres has been occupied by the NSW Department of Fair Trading.
It has a land size of 2,049 square metres.
Photo courtesy of Google. 
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