CBD building set to sell for almost $30M
BENDIGO Bank's Queensland headquarters has hit the market and is expected to sell for almost $30 million.
The four level office building at 114 Brisbane St, Ipswich, was built in the heart of the CBD in 2009 and has 4500sq m of lettable area.
Bendigo Bank are the main tenant in the building, taking up more than 70 per cent of the office space.
The net income from leasing the building will be more than $2.1 million per annum, according to Colliers International agent Samuel Biggins.
"We launched at mid last week and we've had pretty good interest in it from the outset," he said.
"It's a modern building, it's less than 10 years old, (Bendigo Bank) are there and take up more than 70 per cent of the floor space.
"They've just signed a new six year lease, they're certainly committed to the Ipswich area and all vibes we get from them is they intend to remain for quite a long time, most of the staff live locally as well which helps."
Interest for the iconic building is coming from interstate and from a variety of groups.
"We've had good interest from property syndicates, both local and interstate, with some private investors and also smaller office funds," Mr Biggins said.
"Really, they're attracted to the fact that it's a modern building with a 5 Star NABERS rating and a strong covenant and at a price point that's attractive.
The QT understands expressions of interest are sought in the $27 to $28 million range.
"The yield will be about seven per cent and in a low interest rate environment to get a building of that quality and a tenant of that quality at a yield of more than seven per cent is really good," Mr Biggins said.
Bendigo Bank's presence in Ipswich originated over 140 years ago with the then Ipswich and West Moreton Building Society and continues to this day with over 230 staff employed in this facility.
The current Bendigo Bank building encompasses the original heritage-listed Ipswich Post Office and Clock Tower, which has been refurbished into modern office accommodation.
The Bendigo Bank Building is for sale by expressions of interest closing November 27.