Property Development

Plans for new $250 million commercial tower in Fortitude Valley

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Written by The ReReport
As seen in the Source link, written by commercialrealestate.com.au on 2018-12-14 04:20:59

Lucy Stone

An architecturally-designed, $250 million commercial tower is planned for Fortitude Valley at the intersection of Ann and Wandoo Streets, opposite Aurizon’s $170 million headquarters.

It is understood Consolidated Properties Group purchased 895 Ann Street for $15 million with the intent to develop the land for the 15-storey project.

The group previously developed 900 Ann Street, directly opposite, which became Aurizon’s headquarters on a 12-year lease after opening in June.

Consolidated Properties Group executive chairman Don O’Rorke said Aurizon taking up tenancy of the 900 Ann Street was one of the biggest additions to the Brisbane fringe market in the year.

“We are making plans to move forward with 895 Ann Street with a view that other major players will follow suit to capitalise on the area’s accessibility and appeal,” Mr O’Rorke said.

“There are currently no new commercial developments under construction in the Brisbane fringe area and there is a relatively subdued pipeline for the immediate future, so vacancy rates are widely tipped to fall.

“All indicators point to the market switching gears over the coming years, as demand and supply start to equalise and the shift towards the Brisbane fringe continues.”

The new $250 million tower is proposed to create 20,000 square metres of floor space available as a single lease or individually.

John Wardle Architects, who designed 900 Ann Street for Aurizon and other properties for Consolidated Property Group, has been appointed for the 895 Ann Street development.

The 895 Ann Street address currently holds a three-level office building housing several businesses.

Construction is planned to begin toward the end of next year pending approval with agents JLL appointed to manage leasing interests in the future.

No development application has yet been accepted by Brisbane City Council.