Alceon is tapping into a shortage of vacant commercial properties in Brisbane’s fringe markets with its purchase of a property in Murarrie in the capital city’s east for $13.65 million.
Alceon acquired the freestanding building at 7 Smallwood Place which was situated within the heart of the Metroplex Park estate.
The property had 3,277 sqm of net lettable area across two levels and sat on a prominent 5,812 sqm corner site with 106 car parks.
The sitting tenant Michael Hill Jeweller was relocating to their new purpose-built premises at Cannon Hill.
Alceon intended to reposition and refurbish the vacant asset, which had floor plates of 1,108 sqm and 2,169 sqm, before undertaking a strategic re-leasing campaign.
Alceon Executive Director Justin Reidy said they had been looking for quality assets in the Murarrie area for a while and this one had appealed to them for a variety of reasons.
“It is unique, well positioned with excellent access, structurally sound and can accommodate a multitude of uses including commercial, light industry, medical, R&D and tech space,” Reidy said.
“There are limited vacancies in the Metroplex Park and enquiry has been very strong pre and post the acquisition.
“Refurbishment works are set to commence in October which will include a full make good and new amenities.”
Knight Frank’s Matt Barker and Blake Goddard negotiated the off-market deal with the vendor, OzProp Capital.
“There is a lack of vacant buildings in the fringe market of this size, particularly with such a high car parking ratio,” Barker said.
“The refurbished space is expected to become available for lease immediately and will be suitable for occupiers from early 2023 looking for a commercial headquarters, project space, technology and laboratory space, research and development or a government office.”
Goddard said the Murarrie property was centrally located within the Metroplex on Gateway estate and surrounded by a range of amenities and public transport hubs, with convenient access to the Gateway Motorway, Airport and CBD.
“The suburban office market has gone from strength to strength, particularly during the COVID recovery period where occupiers are seeking premises closer to suburban hubs,” he said.
“7 Smallwood place creates a great opportunity for tenants to occupy a newly refurbished and modernised facility and should be highly contested with ongoing tenant demand within these precincts.”