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INSTITUTIONAL SALES QUEENSLAND .

INSTITUTIONAL SALES QUEENSLAND...Fortitude Valley 444 Queen Street, Brisbane Festival Carpark, 45 Charlotte Street, Brisbane 165-171 Elizabeth Street, Brisbane 103 George Street, Brisbane

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Page 1: INSTITUTIONAL SALES QUEENSLAND...Fortitude Valley 444 Queen Street, Brisbane Festival Carpark, 45 Charlotte Street, Brisbane 165-171 Elizabeth Street, Brisbane 103 George Street, Brisbane

INSTITUTIONALSALES QUEENSLAND .

Page 2: INSTITUTIONAL SALES QUEENSLAND...Fortitude Valley 444 Queen Street, Brisbane Festival Carpark, 45 Charlotte Street, Brisbane 165-171 Elizabeth Street, Brisbane 103 George Street, Brisbane

KNIGHT FRANK’S QUEENSLAND INSTITUTIONAL SALES TEAM PRIDE

THEMSELVES ON DELIVERING THE BEST CAPITAL MARKETS TRANSACTIONAL

SERVICE IN BRISBANE. LED BY JUSTIN BOND AND BEN MCGRATH,

THE TEAM HAS BEEN INSTRUMENTAL IN DRIVING EXCEPTIONAL RESULTS

IN THE BRISBANE CBD AND NEAR CITY OFFICE MARKETS. THEY ARE

COMMITTED TO CREATING GENUINE PARTNERSHIPS AND EXCEEDING THEIR CLIENT’S EXPECTATIONS.

Page 3: INSTITUTIONAL SALES QUEENSLAND...Fortitude Valley 444 Queen Street, Brisbane Festival Carpark, 45 Charlotte Street, Brisbane 165-171 Elizabeth Street, Brisbane 103 George Street, Brisbane

Knight Frank’s Institutional Sales business has been “On The Move” in recent years, building a significant amount of momentum not only in the Brisbane Market but throughout Australia. We have recruited the best people, boosted our connectivity, lifted our profile, and most importantly achieved market leading results.

When marketing our client’s assets domestically and offshore, we are committed to achieving exceptional result. Our strategy to provide the best agency service in our market has produced outstanding results and strengthened our client relationships. We have introduced many foreign groups to Brisbane who are attracted to Queensland’s compelling growth story and now recognise Brisbane as a genuine destination for investment.

TRANSACTIONS17

“JUSTIN, BEN AND KNIGHT FRANK’S GLOBAL NETWORK DEMONSTRATED A STRONG AND GENUINE CONNECTION TO THE MOST ACTIVE LOCAL AND OFFSHORE INVESTORS.”Pramerica Sale of 215 Adelaide Street, Brisbane

ON T

HE M

OVE.

*Past 18 months

IN NUMBERS.OVER $1 BILLION IN SALES

40% OF SALES IN THE CBD

OVER 15 INTERNATIONAL ROADSHOWS

DELIVERING PROVEN RESULTS

GENUINE GLOBAL ENGAGEMENT

A key platform to Knight Frank’s National Institutional Sales business is to pro-actively engage with the company’s extensive office network throughout Asia, Europe and America. As the world’s largest privately owned commercial real estate firm, our global coverage & access to buyers is second to none.

0504

Page 4: INSTITUTIONAL SALES QUEENSLAND...Fortitude Valley 444 Queen Street, Brisbane Festival Carpark, 45 Charlotte Street, Brisbane 165-171 Elizabeth Street, Brisbane 103 George Street, Brisbane

HSBC BUILDING, 300 QUEEN ST, BRISBANE

Kevin Seymour Sold on behalf of Seymour Group

215 ADELAIDE ST, BRISBANE

Steve Bulloch Sold on behalf of PGIM (formerly Pramerica IM)

The Knight Frank Institutional Sales Team has been hugely successful across the Brisbane CBD Market. The Team has been involved in the most CBD transactions over the last 18 months, setting a number of transactional benchmarks across all price points.

29,110sqm • $7,695/sqm •

7.03% (Equivalent Yield) •

$224 MILLION

19,364sqm • $9,709/sqm •

6.73% (Equivalent Yield) •

“KNIGHT FRANK FULLY SATISFIED OUR PRICE EXPECTATIONS AND PROFESSIONALLY MANAGED THE PRESENTATION AND SALE.”

$188 MILLION

19,864sqm • $6,645/sqm •

7.24% (Equivalent Yield) •

$132 MILLION

OUR SUCCESSES.

“KNIGHT FRANK DID A GREAT JOB WORKING THROUGH ANY OBSTACLES AND LEADING THE DEAL.”

“JUSTIN AND BEN WERE INSTRUMENTAL IN ALL ASPECTS OF THE MARKETING AND SALES PROCESS, FROM DEVELOPMENT AND IMPLEMENTATION OF A HIGHLY EFFECTIVE CAMPAIGN STRATEGY, DUE DILIGENCE, RIGHT THROUGH TO SETTLEMENT.”

“BEN & JUSTIN DROVE A VERY AGGRESSIVE PRICING MESSAGE

AND WERE ABLE TO CREATE A HIGHLY COMPETITIVE

BIDDING PROCESS.”State Development

Sale of 601 Coronation Drive, Toowong

601 Coronation Drive, Toowong

35 Boundary Street, South Brisbane

Brisbane Polo Club, 193 Mary Street, Brisbane

100 Wickham Street, Fortitude Valley

444 Queen Street, Brisbane

Festival Carpark, 45 Charlotte Street, Brisbane

165-171 Elizabeth Street, Brisbane

103 George Street, Brisbane

Foxtel HQ, 35 Robina Town Centre Drive, Robina

Tara House, 171-179 Elizabeth Street, Brisbane

$45,200,000$48,546,300

$14,000,000$50,000,000

$23,500,000 (66% SHARE)

$45,000,000

$15,500,000$29,500,000

$46,000,000$8,100,000

324 QUEEN ST, BRISBANE

Matthew Duncan Sold on behalf of Brookfield Property Partners & DEXUS Property Group

0706

Page 5: INSTITUTIONAL SALES QUEENSLAND...Fortitude Valley 444 Queen Street, Brisbane Festival Carpark, 45 Charlotte Street, Brisbane 165-171 Elizabeth Street, Brisbane 103 George Street, Brisbane

QLD ECONOMY: COMPONENTS OF GSP

PURCHASER PROFILES 15/16 – BRISBANE CBD

CBD RETURN SPREAD – BRISBANE VS SYDNEY

CAPITAL INTO AUSTRALIAN PROPERTY FROM ASIA PACIFIC REGION

Source: Knight Frank Research

INVESTMENT OF GLOBAL CAPITAL INTO BRISBANE OFFICEAU$2.7 Billion past 3 years

AU$36 Billion past 3 years

44%

POPULATION GROWTH (2036)

2,308,720 TO3,326,533

30%

EMPLOYMENT GROWTH (2031)

1,178,000 TO1,532,200

GREATER BRISBANE ECONOMY

$146

BILLION

“BRISBANE IS AUSTRALIA’S CLOSEST

EASTERN SEABOARD CAPITAL TO ASIA”

Queens Wharf Casino Development – $3bn Howard Smith Wharves – $200m

Brisbane International Airport Upgrade: Second Runway – $1.35bn

Edward & Albert Street Upgrades – $11.4m Three inner-cityTransit tunnels – $9.3bn

Cross River Rail – $5.4bn Brisbane Metro – $1.5bn

EMPLOYMENT GROWTH (2031)

Source: Brisbane City Council, Sep 2016

BRISBANE.

MAJOR INNER CITY PROJECTS KEY

ECON

OMIC

IN

DICA

TORS

.

“BRISBANE IS CONTINUING TO EXPERIENCE RAPID GROWTH”

CHINA

43%SINGAPORE

33%HONG KONG

11%MALAYSIA

4%SOUTH KOREA

3%JAPAN

3%

AUSTRALIAN PRIME YIELD SPREAD TO BONDS

UNITED STATES

25%

SINGAPORE

23%

MALAYSIA

5%

CHINA

7%

CANADA

17%

GERMANY

13%

HONG KONG

2%

SOUTH KOREA

8%

Brisbane is primed for exceptional growth and will remain a significant target market for institutional investors. Improvements in market fundamentals look positive moving forward into 2017 with signs of increased leasing activity, withdrawal of secondary grade stock, and limited new supply.

Brisbane’s major infrastructure and development projects will further cement Brisbane’s perception as a world class Capital City. Significant earmarked projects will progressively create a positive growth story for Brisbane and transform the inner-city over the next decade. Brisbane’s compelling premium yield attraction compared to Sydney and Melbourne and the markets overwhelming medium to long term growth outlook, will continue to draw investors.

GREATER BRISBANE ECONOMY

POPULATION GROWTH (2036)

0908

0

50

100

150

200

250

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

9.0%

01-Jul-99

01-Jan-00

01-Jul-00

01-Jan-01

01-Jul-01

01-Jan-02

01-Jul-02

01-Jan-03

01-Jul-03

01-Jan-04

01-Jul-04

01-Jan-05

01-Jul-05

01-Jan-06

01-Jul-06

01-Jan-07

01-Jul-07

01-Jan-08

01-Jul-08

01-Jan-09

01-Jul-09

01-Jan-10

01-Jul-10

01-Jan-11

01-Jul-11

01-Jan-12

01-Jul-12

01-Jan-13

01-Jul-13

01-Jan-14

01-Jul-14

01-Jan-15

01-Jul-15

01-Jan-16

01-Jul-16

SPREAD (RHS) SYDNEY CBD PRIME YIELD BRISBANE CBD PRIME YIELD AVERAGE SPREAD

0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0%

Dwelling Ownership

Agriculture, Forestry & Fishing

Accommodation & Food Services

Personal & Other Services

Electricity, Gas, Water & Waste Services

Education & Training

Public Administration & Safety

Transport & Warehousing

Manufacturing

Mining

Health Care & Social Assistance

Wholesale & Retail Trade

Construction

Business Services

QLD 2015/16 AUST 2015/16

1.2%

1.1%

3.6%

2.8%

2.2%

2.4%

3.0%

2.0%

4.3%

2.5%

2.5%

3.8%

4.7%

-1.00%

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

7.00%

8.00%

Hong K

ong

Singapore

Tokyo

Seoul

Guangzhou

Shanghai

Beijing

Kuala Lum

pur

Bangkok

Sydney

Melbourne

Brisbane

Perth

10 Year Govt bond rate Prime CBD Office Yield Spread

AREIT 16%

Offshore 37%

Unlisted/ Syndicate

34%

Super Fund 10%

Developer 1%

Page 6: INSTITUTIONAL SALES QUEENSLAND...Fortitude Valley 444 Queen Street, Brisbane Festival Carpark, 45 Charlotte Street, Brisbane 165-171 Elizabeth Street, Brisbane 103 George Street, Brisbane

GLOBAL COVERAGE.

UNITED KINGDOM 2,000 PEOPLE 84 OFFICES

CONTINENTAL EUROPE 1,020 PEOPLE 80 OFFICES 16 COUNTRIES

AUSTRIA / BELGIUM / CYPRUS / CZECH REPUBLIC FRANCE / GERMANY / IRELAND / ITALY / MONACO THE NETHERLANDS / POLAND / PORTUGAL ROMANIA / RUSSIA / SPAIN / SWITZERLAND

AFRICA690 PEOPLE 23 OFFICES

10 COUNTRIES

BOTSWANA / KENYA / MALAWI NIGERIA / RWANDA / SOUTH AFRICA

TANZANIA / UGANDA / ZAMBIA ZIMBABWE

THE MIDDLE EAST 50 PEOPLE 3 OFFICES 2 COUNTRIES

THE KINGDOM OF SAUDI ARABIA THE UNITED ARAB EMIRATES

THE AMERICAS5,540 PEOPLE 166 OFFICES COUNTRIES

ARGENTINA / BRAZIL / CANADA CHILE / COLOMBIA / COSTA RICA DOMINICAN REPUBLIC / MEXICO PERU / PUERTO RICO THE CARIBBEAN / USA

ASIA PACIFIC 4,970 PEOPLE 55 OFFICES 13 COUNTRIES

AUSTRALIA / CAMBODIA / CHINA HONG KONG / INDIA / INDONESIA JAPAN / MALAYSIA / NEW ZEALAND SINGAPORE / SOUTH KOREA TAIWAN / THAILAND

413 OFFICES14,820 PEOPLE60 COUNTRIESJanuary 2017

NEIL BROOKES Head of Capital Markets Asia Pacific

CONNECTING GLOBAL INVESTORS TO AUSTRALIAN CAPITAL MARKETS

Knight Frank has extensive relationships with offshore investment groups and are globally known for their ability to service Global Institutions and High Net Worth individuals. Neil Brookes, based in Singapore, assists us to directly connect to the most active international investment groups. Neil’s extensive experience in the Australian Market and importantly the Brisbane Market, ensures we effectively achieve maximum engagement from offshore buyers.

THERE’S A HUMAN ELEMENT IN THE WORLD OF PROPERTY THAT IS ALL TOO EASILY OVERLOOKED

At Knight Frank we build long-term relationships that enable us to provide personalised, clear and considered advice on all areas of property in all key markets. We believe personal interaction is a crucial part of ensuring every client is matched to the property that suits their needs best.

Operating in locations where our clients need us to be, we provide a worldwide service that’s locally expert and globally connected.

Page 7: INSTITUTIONAL SALES QUEENSLAND...Fortitude Valley 444 Queen Street, Brisbane Festival Carpark, 45 Charlotte Street, Brisbane 165-171 Elizabeth Street, Brisbane 103 George Street, Brisbane

JUSTIN BOND Senior Director

BEN MCGRATH Senior Director

MARK CROSLAND Senior Analyst

NEIL BROOKES Head of Capital Markets Asia Pacific

LEANNE EDWARDS Executive Assistant

PAUL HART Hong Kong

IAN LOH Singapore

ANDREW SIM UK & Europe

ALAN LIU China

JAMES BUCKLEY Malaysia

JACK CHOI Korea

QLD Justin Bond Ben McGrath

YOUR QUEENSLAND INSTITUTIONAL SALES TEAM

NATIONAL INSTITUTIONAL SALES LEADERSHIP

INTERNATIONAL CONTACTS

NSW Paul Roberts Ben Schubert

VIC Martin O’Sullivan Paul Henley

SA Guy Bennett

WA Todd Schaffer Andrew Woodley-Page

APAC Neil Brookes Emily Fell

Page 8: INSTITUTIONAL SALES QUEENSLAND...Fortitude Valley 444 Queen Street, Brisbane Festival Carpark, 45 Charlotte Street, Brisbane 165-171 Elizabeth Street, Brisbane 103 George Street, Brisbane

KnightFrank.com.au