Marquette Splashes $285m on Brisbane’s Gold Tower

Marquette Properties has splashed out $285 million to secure 10 Eagle Street in Brisbane's so-called “Golden Triangle”.

Marquette managing director Toby Lewis said the gold tower was one of the top 10 buildings in the CBD with an “excellent leasing history” and they had been anticipating its entry to the market.

“I think it’s an irreplaceable asset in Brisbane’s CBD,” Lewis said.

“We are Brisbane-based and focused. Brisbane City is our favourite place to invest and grow and help shape the city. We have three CBD assets … we have about $550m exposure to Brisbane City.”

Lewis said the office market had been robust through the pandemic.

He said he was confident it would continue to grow during the next two years, helped by the investment in Cross River Rail and the city’s bid to host the 2032 Olympic Games.

“Despite the ongoing long-term uncertainty associated with the Covid-19 pandemic, we have enabled more than 150 Australian families to invest in 10 Eagle Street and look forward to delivering strong returns as Brisbane continues to grow as a city and as a city to invest in,” Wilson said.

Dexus sold the asset from its Dexus Office Partnership portfolio and net sale proceeds would be used to pay down debt, chief investment officer Ross Du Vernet said.

“This transaction continues our asset recycling strategy, realising value for both Dexus and our Dexus Office Parner while reducing our exposure to the Brisbane market,” Du Vernet said.

“It also provides us with an excellent opportunity to focus our leasing, asset management and development capabilities on advancing our city-shaping development project at Waterfront Brisbane.”

The golden tower at 10 Eagle St was built in 1978. The 34-storey building has 27,8000sq m of office space in Brisbane’s golden triangle, bordered by Eagle, Queen and Edwards streets. It was the city's tallest building at the time of completion.

The sale is expected to settle next month. The building is 92 per cent occupied with a weighted average leasing expiry (WALE) of 2.9 years with key customers including AEMO, Wilson Parking and Accenture.