NEWS

SW1 Commercial Fully Leased on Completion

30 October 2008

The final commercial towers at the $350 million SW1 precinct are now 100% leased, developers Austcorp and Property Solutions announced today.

Long term leases have now been signed with eight international and Australian firms for the 17,822sqm of prime office space in the second stage, which features two eight-level buildings designed by renowned architects Cox-Rayner and Allen Jack+Cottier. The buildings are located alongside the Brisbane Convention and Exhibition Centre at South Bank.

 The final tenants have now been secured for the precinct's final commercial stage, which will further elevate South Bank into a modern commercial precinct of the Brisbane CBD. International firm Sinclair Knight Merz (SKM) secured an entire tower, equating to 9,522sqm of office space, earlier this year. Under the lease, the firm also secured the building's naming rights. MacMahon Contractors, Transfield Services, Fuji Xerox, McPherson Super, Ostwald Bros, Sabre Pacific and Peet & Company will be among the tenants to take up residency in the second tower. Leases were negotiated by David Howson and Jonathon O'Brien from CBRE and Tim Mahony of DTZ, for an average of $525/sqm per annum.

The significant demand for office space in this second stage fronting Russell Street has mirrored the success of the first release on Melbourne Street, which was also fully leased and sold ahead of completion.

Austcorp executive chairman Trevor Chappell said: "The success of SW1 underscores market acceptance of the vertical village concept. This aligns with the South Bank Corporation's masterplan intent for the entire precinct and has delivered an exceptional solution for the benefit of the entire Brisbane community.

 "It is an outstanding achievement for both commercial stages of SW1 to be fully leased prior to their completion."

 Property Solutions Group managing director David Blanck said the agents had spearheaded an intensive marketing campaign that resulted in a strong level of national enquiry.

"This is testament to the hard work of both CBRE and DTZ, along with the quality of the project and the broad business opportunities it presents.

 "This landmark mixed-use precinct has arrived in Brisbane at a time when opportunities to occupy a new, architecturally designed building in the inner city are limited.

"Combine this with SW1's location, only 750 metres from the Queen Street Mall and only a stone's throw away from a multitude of public transport options, and it is clear why SW1 has become such a sought-after place to live and do business."

Stage two also comprises 1577sqm of retail space and leasing opportunities are still available starting from $600/sqm per annum.

"The commercial component of SW1 is flanked by retail precincts where there are cafes, a delicatessen, fresh food markets, bars and restaurants currently operating," Mr Blanck said.

Retail tenants already secured for stage two include Subway, Queensland Centre for Photography and Cremosa.

Hutchinson Builders have been the backbone of the project from the beginning, constructing the entire SW1 precinct. The first building, occupied by SKM was completed in August and the second building is on track for completion by the end of this month.

South Bank Corporation CEO Malcolm Snow said the SW1 project was a great addition to the booming South Bank precinct.

"We always believed that the SW1 project would provide a tangible link between South Bank and West End and we have seen that link develop with great success over the past 18 months," Mr Snow said.

SW1 is being developed on a 1.8 hectare site between Melbourne and Russell Streets, adjacent to the Brisbane Convention and Exhibition Centre.

Austcorp Group Limited and Property Solutions Group acquired the former Mazda site in 2004. This followed success in a design and development competition staged by South Bank Corporation. This creative development has led to the re-establishment and rejuvenation of South Bank and West End.

SW1 is a vertical village comprising four commercial towers and a mix of residences, all integrated with an interactive retail precinct. The project has a central pedestrian corridor linking all of the SW1 precincts and provides access for the wider community.

Overall, six different architects have been engaged in SW1, including the landscape architect, to create unique and individual characters for the various components within the development.

The tenants at SW1's first commercial precinct include: Colorado, Downer EDI, the Queensland Government and AXA Insurance, all of which are complemented by retail tenancies that match the caliber of the commercial precinct. The likes of award winning Era Bistro, café and liquor outlet, French Twist and the latest tenant Oliver & Co. offer an eclectic mix of brands from around the world.

SW1 is scheduled for completion in 2009. The final SW1 residential precinct of terrace houses will be launched early next year. Interested buyers may register their interest by visiting www.SW1.com.au.

Read more about Austcorp's SW1.
Go to the SW1 website at www.sw1.com.au.