Brisbane investors takes hit on sale of historic 181 George Street Brisbane building

Brisbane investors takes hit on sale of historic 181 George Street Brisbane building
Brisbane investors takes hit on sale of historic 181 George Street Brisbane building

A late 19th century retail and office building on George Street in the Brisbane CBD has sold to Taiwanese investors for just $25,000 more than its previous 2007 selling price.

Flight Centre Properties sold the 292 square metre refurbished four story building at 181 George Street to local Brisbane family almost six years ago for $2.375 million, having paid just over $1 million in 1990.

The sale price equates to annual capital growth of 0.18% - a substantial loss when transaction and maintenance costs over the past six years are taken into account.

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The sale took place just before the commercial property market tumbled in the wake of the GFC.

The transaction was negotiated by Ray White Retail investment director Mark Greer and associate director Andrew Adnam.

Located opposite the Treasury Casino, it sold on a yield of around 5% , which Greer says is "reflective of current and future development in the precinct".

It is occupied by Flight Centre, Bean Café and 888 Agency.

“The sale is indicative of the proposed and current development activity in the George Street precinct and represents positive investment for Brisbane’s CBD,” Greer said.

“George Street was the city epicentre during the 1940’s and 50’s and has recently experienced heightened investment and development interest.

“We experienced extensive interest in the building from both Australian and international parties and believe Brisbane will continue to see investment demand, particularly in the George Street precinct.”

“The development of 1 William Street by the state government, the Supreme Court and billion dollar proposed casino development as well as the recently completed Taxation Office, Brisbane Square and 400 George St are all contributing to George Street returning to the thriving city precinct that is was some 70 years ago.”

Larry Schlesinger

Larry Schlesinger

Larry Schlesinger was a property writer at Property Observer

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