Weekly Transaction Update - 19th May
With the Federal Budget behind us we have seen a flurry of smaller deals hit the market. This week, 14 transactions above $5M were reported totalling $347M.
The largest deal was the sale by Cromwell of the Bundall Corporate Centre for $89M. This sale is a good example of the Gold Coast property cycles and why picking the peak is not necessary so long as you sell for a profit and avoid the next fall.
Cromwell have bought or sold this asset in each of the last 5 years since 2005. Originally buying the asset for $58M from the Raptis Group, Cromwell then sold it prior to the GFC in 2007 for $106M, buying back again in 2012 for $63M and now selling for $89M. The 2007 buyer conveniently doubled the size of the asset by building a second tower. Clearly, Cromwell have done well to sieze the opportunities on this site.
The other notable transaction this week was a portfolio sale of 6 industrial properties by Simonson Properties to Bob Ell. Sold for $71M on a average yield of 6.9% the properties are all located in the Smithfield/Wetherill Park/Eastern Creek industrial precinct.
Scroll through the list below or head to Propel for further details.