Forza Russell Street Fund
55 Russell Street, South Brisbane, QLD
KEY PROPERTY INFORMATION
| Land Size | 2,153m² |
| Building Size | 4,081m² |
| Occupancy | 100% |
| Purchase Date | March 2019 |
| Purchase Price | $23,600,000 |
| Current Valuation | $29,500,000 |
The Forza Russell Street Fund is an unlisted property fund which holds a quality 3 level 4,081m² commercial office building with 50 basement car parks in South Brisbane. Purchased for $23,650,000 in March 2019, the Property has a 12-level height control and flexible zoning. Sitting on a high profile corner site opposite Musgrave Park with amazing sight lines that are unable to be built out, the Property has longer term redevelopment potential. Acquired on a 6.8% yield, the purchase price compared very favourably to previous sales of similar assets.
The Property was acquired with approximately 33% vacancy, and within the first six months a whole floor Government tenant was secured on a long-term lease for the vacant space. The Fund now has a WALE of over 6 years and is 100% leased to Government tenants. Subsequent to this, the Property was revalued to $29,500,000 which allowed for a refinance to occur and 21% of capital to be returned to investors in December 2019.
The asset has been repositioned through active management which has seen a 21% return of capital for investors to date.
Through active, hands on management, the Property has also achieved a 6 Star NABERS rating. It is one of the only existing buildings in Queensland to achieve such an outcome and one of only 6 buildings in the Brisbane CBD and surrounds to achieve such a rating.
