Goldman Sachs selling former distressed Gold Coast asset
A Gold Coast office building, whose distressed debt was snapped up by Goldman Sachs during the commercial property downturn, is being offered back to the market with price expectations in the mid-$30 millions.
The property known as the Seabank Building at 12-14 Marine Parade, Southport, has been managed by Balmain.
It is one of a number of assets that are being sold out of distressed debt portfolios acquired several years ago in the property downturn, with Goldman Sachs selling a shopping centre in Canberra for about $120 million earlier this year.
Other groups such as Macquarie have also recently sold assets they bought via debt parcels.
The latest Goldman Sachs property, purchased out of the distressed Suncorp property debt, includes a 8547-square-metre, 11-storey commercial building, occupied by The Gold Coast Bulletin newspaper, IBM and the Queensland government. The building enjoys views over the Broadwater in Southport. The office building was built about 1987 and has an adjoining 1222 sq m vacant block of land suitable for major development.
McVay Real Estate’s Sam McVay and Dan McVay have been appointed to sell the asset.
Dan McVay said, “The Seabank office is one of the more well-known commercial buildings in the Gold Coast. Its uninterrupted aspect over the Broadwater and the recently implemented capex programs have resulted in an excellent tenant retention and covenant”.
Sam McVay said, “Seabank is a unique opportunity to invest in the multi-tenant cash flows of an established Gold Coast office building, whilst possible future value-add planning outcomes are assessed and implemented.”
The property is 150m from the nearest Gold Coast light rail station and 200m from the regional shopping centre, Australia Fair.
“On the back of the infrastructure spend there office fundamentals have improved dramatically with vacancy having reduced to less than 10 per cent from 20 per cent vacancy only a few years ago.”
