Centuria sells in Cannon Hill
Centuria has sold an A-grade office building in Cannon Hill for $36.95 million, reflecting a yield of 6.75%.
The two-storey commercial building at 19 Corporate Drive sits on a 5,246sqm site which has good access to the Cannon Hill train station and local arterial roads. The building was constructed in 2008 and has a net lettable area of 6,028 sqm and on-site parking for 145 cars. The building is fully leased to Honeywell, NBN Co and the Queensland Government.
Centruia acquired the asset for a wholesale fund in 2012 for $23.3M on an initial yield of 10.8%. The group raised $15.7M for the acquisition and following this sale will have delivered an IRR of circa 18% to investors over the 6.5 year holding period (before performance fees and tax).
The asset was acquired by Aviator Capital, a Sydney based fund management company.
The sale was negotiated by Knight Frank and Savills.