small suite report - savills australia | home · brisbane cbd - october 2016 savills.com.au...

Small Suite Report

Brisbane CBD - October 2016

savills.com.au

Introduction 5

Premium & A-Grade Stock 6

B & C-Grade Stock 8

01 introduction

In today’s challenging economic landscape, information is of paramount importance

in ensuring the decisions made today, are in the best interests of your company

tomorrow. It is the intention of this small suite report to provide a brief overview of

the Brisbane CBD leasing market to ensure your understanding of how to achieve

the best possible outcome for your business.

Savills success in the Brisbane leasing market has been derived from our ability to

build a collaborative relationship with our clients and tenants through excellent

market advice.

We look forward to working with you.

CBD Leasing

John McDonald

State Director - CBD Leasing

P +61 7 3002 8847

M +61 417 750 559

E [email protected]

Michael O’Rourke

Associate Director - CBD Leasing

P +61 7 3002 8878

M +61 424 503 151

E [email protected]

Daniel Boyes

Executive - CBD Leasing

P +61 7 3002 8834

M +61 424 373 554

E [email protected]

Andrew McPhail


P +61 7 3002 8821

M +61 418 886 409

E [email protected] Leah Freney


P +61 7 3221 8355

M +61 415 849 293

E [email protected]

Alister Harper

Cadet - Office Leasing

P +61 7 3002 8869

M +61 458 585 882

E [email protected] Savills

Level 2 66 Eagle Street

Brisbane QLD 4000 savills.com.au

Grade Premium

Sector Financial

No. Floors 53

71 Eagle Street71 Eagle Street71 Eagle Street71 Eagle Street

Floor Plate 1,243m2

NLA 30,500m2

Owner Bloomberg

Grade A

Sector Financial

No. Floors 23


Floor Plate 1,450m2

NLA 32,824m2

Owner Lend Lease

Premium & A-Grade Stock

Grade Premium

Sector Financial

No. Floors 41


Floor Plate 1,510m2

NLA 51,148m2

Owner GPT

Grade Premium

Sector Financial

No. Floors 54


Floor Plate 1,415m2

NLA 64,264m2

Owner GPT

Grade Premium

Sector Financial

No. Floors 36


Floor Plate 1,792m²

NLA 59,253m²

Owner Dexus

LevelLevelLevelLevel AreaAreaAreaArea FitFitFitFit----OutOutOutOut Indicative RentIndicative RentIndicative RentIndicative Rent Likely IncentiveLikely IncentiveLikely IncentiveLikely Incentive Annual Rent*Annual Rent*Annual Rent*Annual Rent* AvailableAvailableAvailableAvailable

11 224 New $800 Effective Undisclosed LEASED

11 107 New $800 Effective Undisclosed LEASED

11 161 Yes $800 Effective Undisclosed LEASED


19 569 Existing $725 30—35% $289,000 Q3 2016


45 279 No $885 33% $165,500 Immediately

45 238 No $885 33% $141,500 Immediately

45 227 No $885 33% $135,000 Immediately

45 159 No $885 33% $94,500 Immediately

27 305 No $885 33% $181,000 Immediately


37 444 No $850 30—35% $264,500 Immediately

35 234 New $865 10—15% $182,500 Immediately


35 230 New $895 10—15% $185,500 Immediately

35 474 No $895 30% $297,000 Immediately

*These figures are indicative only. This document does not form part of or constitute an offer or contract. Recipients of this document should rely on their own enquiries about its accuracy.

Grade A

Sector Financial

No. Floors 16

40 Creek Street40 Creek Street40 Creek Street40 Creek Street

Floor Plate 642

NLA 12,986m2

Owner Charter Hall


16 199 New $585 10% $105,000 Immediately

Level 11, 1 Eagle Street - 107m2—224m2

Feature Suite

LEASED LEASED

LEASED

Level 16, 40 Creek Street - 199m2

Grade A

Sector Financial

No. Floors 25

300 Queen Street300 Queen Street300 Queen Street300 Queen Street

Floor Plate 798m2

NLA 19,050m2

Owner Seymour

Premium & A-Grade Stock

Grade A

Sector Financial

No. Floors 32


Floor Plate 954m2

NLA 27,542m2

Owner Dexus


17 315 Existing $720 30—35% $159,000 Immediately

8 225 Spec $725 10—15% $147,000 Immediately


1 173 No $690 30—35% $84,000 Immediately

7 161 Spec $725 32% $79,500 LEASED


23 210 Existing $495 Sublease $104,000 Nov-16

Grade A

Sector Legal

No. Floors 34

400 George Street400 George Street400 George Street400 George Street

Floor Plate 1,425m2

NLA 50,131m2

Owner HSBC


26 477 Existing $550 Sublease $262,500 LEASED

Grade A

Sector Financial

No. Floors 25


Floor Plate 740m2

NLA 19,566m2

Owner Brookfield


22 150 Spec $595 10% $80,500 Immediately

20 418 Existing $400 Sublease $167,500 Immediately

Grade A

Sector Financial

No. Floors 33


Floor Plate 1,088m2

NLA 32,362m2

Owner Dexus


22 187 Spec $720 10% $121,500 LEASED

17 137 Existing $395 Effective Rent $54,500 SUBLEASED

14 314 Existing $385 - $121,000 Immediately


1 127 Existing $715 30% $64,000 Immediately


23 189 Refurb $725 10% $126,000 Immediately




Grade A

Sector Legal

No. Floors 17

95 North Quay95 North Quay95 North Quay95 North Quay

Floor Plate 474m2

NLA 8,685m2

Owner Private


1 385 No $625 Sublease $241,000 Immediately


Feature Suites Level 14, 12 Creek Street - 314m2


Grade B

Sector Uptown

No. Floors 12

410 Ann Street410 Ann Street410 Ann Street410 Ann Street

Floor Plate 833m2

NLA 12,827m2

Owner Mirvac

Grade B

Sector Legal

No. Floors 8


Floor Plate 301m2

NLA 2,400m2

Owner 151 Property

Grade B

Sector Retail

No. Floors 13

79 Adelaide Street79 Adelaide Street79 Adelaide Street79 Adelaide Street

Floor Plate 586m2

NLA 3,672m2

Owner Coombes

Grade B

Sector Gov

No. Floors 22

144 Edward Street144 Edward Street144 Edward Street144 Edward Street

Floor Plate 769m2

NLA 15,708m2

Owner Precision

B & C-Grade Stock


21 102 No $600 35% $40,000 Immediately










10 197 New $550 10—15% $97,500 Q4 2016

8 200 No $550 40% $66,000 Immediately

7 180 Spec $550 15% $84,500 Jan-17

7 220 Spec $550 15% $103,000 Jan-17


Grade B

Sector Retail

No. Floors 10


Floor Plate 320m2

NLA 2,850m2

Owner Abacus


5 162 Existing $625 20% $81,000 Jan-17


Grade B

Sector Retail

No. Floors 5


Floor Plate 430m2

NLA 3,515m2

Owner Abacus






1 23 No $575 10—20% $12,000 Immediately

1 41 No $575 10—20% $21,500 Immediately

Feature Suites

Level 5, 199 George Street - 162m2

Level 10, 410 Ann Street - 197m2

Grade B

Sector Financial

No. Floors 10


Floor Plate 315m2

NLA 2,862m2

Owner Big Boom

Grade B

Sector Uptown

No. Floors 23


Floor Plate 790m2

NLA 17,919m2

Owner 151

B & C-Grade Stock


19 58 Spec $625 NA $36,250 Dec-16

18 146 Partial $595 30% $61,000 Immediately

15 340 No $560 38% $118,500 LEASED

8 191 New $560 20% $86,000 LEASED

8 190 New $590 20% $90,000 Immediately

19 122 Existing $600 20% $59,000 Dec-16

16 168 Existing $595 20% $80,000 Dec-16

3 185 Spec $595 20% $88,500 Dec-16

3 265 Spec $595 20% $126,500 Dec-16

3 146 Spec $595 20% $69,500 Dec-16



5 330 No $500 35—40% $107,500 Immediately

8 90 Existing $495 37.5% $28,000 LEASED


Grade B

Sector Financial

No. Floors 17

201 Charlotte Street201 Charlotte Street201 Charlotte Street201 Charlotte Street

Floor Plate 876m2

NLA 13,420m2

Owner Fortius


2 261 Spec $550 15% $122,500 Dec-16

2 200 Spec $550 15% $93,500 Dec-16

2 230 Spec $550 15% $108,00 Dec-16

2 138 Spec $550 15% $65,000 Dec-16

Grade B

Sector Government

No. Floors 13

126 Margaret Street126 Margaret Street126 Margaret Street126 Margaret Street

Floor Plate 358m2

NLA 5,719m2

Owner Investec


13 358 No $525 35% $122,500 Immediately

9 358 No $525 35% $122,500 Immediately




Grade B

Sector Retail

No. Floors 10


Floor Plate 620m2

NLA 5,698m2

Owner Drivas


4 341 No $550 40% $113,000 LEASED



Level 3, 243 Edward Street - 93m² - 150m²

Feature Suites Level 7, 126 Margaret Street - 80m² - 120m²

Grade B

Sector Retail

No. Floors 33


Floor Plate 874m2

NLA 25,702m2

Owner ING

Grade B

Sector Uptown

No. Floors 14

300 Ann Street300 Ann Street300 Ann Street300 Ann Street

Floor Plate 623m2

NLA 7,160m2

Owner Cornerstone

Grade B

Sector Uptown

No. Floors 20


Floor Plate 509m2

NLA 10,577m2

Owner Aus Unity

B & C-Grade Stock


17 136 New $575 15% $66,500 Immediately








13 142 Spec $550 15—20% $66,500 Nov-16

13 130 Spec $550 15—20% $61,000 Nov-16


25 180 No $570 35% $67,000 Immediately


19 184 No $570 35% $68,500 Immediately


16 207 Existing $570 30% $83,000 LEASED


14 177 No $570 35% $66,000 Immediately


13 149 No $570 35% $55,500 Immediately

12 162 No $570 35% $60,500 Immediately


Grade B

Sector Legal

No. Floors 14


Floor Plate 587m2

NLA 3,212m2

Owner CCN


12 230 New $580 15% $114,000 LEASED

G 300 No $495 35% $97,000 Immediately

Grade B

Sector Legal

No. Floors 3


Floor Plate 3,290m2

NLA 15,524m2

Owner Kador


G 430 Existing $395 35—40% $110,500 Immediately

G 170 No $395 35—40% $44,000 Immediately

Feature Suites Level 7, 241 Adelaide Street - 90m² - 243m²

Level 9, 300 Ann Street - 109m²

Grade B

Sector Financial

No. Floors 22

200 Mary Street200 Mary Street200 Mary Street200 Mary Street

Floor Plate 710m2

NLA 13,830m2

Owner Cromwell

Grade B

Sector Financial

No. Floors 15


Floor Plate 804m2

NLA 11,029m2

Owner Bramley

Grade B

Sector Financial

No. Floors 31


Floor Plate 608m2

NLA 21,404m2

Owner Bramley

B & C-Grade Stock

LevelLevelLevelLevel AreaAreaAreaArea FitFitFitFit----OutOutOutOut Indicative RentIndicative RentIndicative RentIndicative Rent Likely IncentiveLikely IncentiveLikely IncentiveLikely Incentive AvailableAvailableAvailableAvailable

17 238 No $590 35% Immediately

Annual Rent*Annual Rent*Annual Rent*Annual Rent*

$91,500




5 238 No $590 35% $91,500 Immediately



8 350 No $590 35% $134,500 Immediately

8 180 No $590 35% $69,500 Immediately

8 120 No $590 35% $46,500 Immediately



6 216 Spec $560 10% Immediately


$109,000





Grade B

Sector Retail

No. Floors 11


Floor Plate 355m2

NLA 4,219m2

Owner Valad




3 355 Existing $525 35% $121,500 LEASED

6 170 New $575 20% $78,500 Immediately

6 105 New $565 20% $47,500 Immediately

7 355 Refurb $550 35% $127,000 Immediately

Grade B

Sector Government

No. Floors 6


Floor Plate 250m2

NLA 1,750m2

Owner HCP



Grade B

Sector Financial

No. Floors 11


Floor Plate 544

NLA 5,984m²

Owner Jen Retail


1 300 No $500 30% $150,000 Immediately

3 387 No $500 30% $193,500 Immediately

4 387 No $500 30% $193,500 Immediately

5 387 No $500 30% $193,500 Immediately

11 150 No $525 30% $78,750 Immediately

Level 6, 200 Mary Street—216m2

Feature Suites

Level 6, 217 George Street - 105m² -170m²

Grade B

Sector Financial

No. Floors 6


Floor Plate 521m2

NLA 3,933m2

Owner 151

B & C-Grade Stock


4 124 Spec $550 15% $58,000 LEASED




Grade B

Sector Financial

No. Floors 17

133 Mary Street133 Mary Street133 Mary Street133 Mary Street

Floor Plate 807m2

NLA 11,244m2

Owner Quadra


12 105 Spec $635 5% $63,500 Nov-16

12 80 Spec $645 5% $49,500 Nov-16

12 150 Spec $635 5% $90,500 Nov-16

12 222 Spec $625 5% $132,000 Nov-16

12 78 Spec $645 5% $48,000 Nov-16

12 122 Spec $635 5% $74,000 Nov-16

Grade C

Sector Legal

No. Floors 6

30 Herschel Street30 Herschel Street30 Herschel Street30 Herschel Street

Floor Plate 480m2

NLA 2,550m2

Owner Nielson



1 300 Existing $420 40% $76,000 LEASED

Grade B

Sector Financial

No. Floors 25


Floor Plate 796m2

NLA 19,261m2

Owner Westlawn


25 197 New $635 10—15% $113,000 Immediately


16 150 No $630 35% $61,500 Immediately




Grade B

Sector Government

No. Floors 15


Floor Plate 400m2

NLA 5,760m2

Owner Private



Grade B

Sector Financial

No. Floors 7


Floor Plate 630m2

NLA 5,537m2

Owner Bloomberg


1 45 No $450 25—30% $15,500 Immediately

1 151 Existing $450 35% $45,000 LEASED

Feature Suites Level 4, 370 Queen Street - 123m²

Level 5, 30 Herschel Street— 471m²

B & C-Grade Stock


Grade B

Sector Financial

No. Floors 4


Floor Plate 218m2

NLA 1,006m2

Owner Private


3 218 Part $595 35% $84,500 Immediately

Grade C

Sector Uptown

No. Floors 6


Floor Plate 786m2

NLA 4,715m2

Owner Traxview



Grade C

Sector Financial

No. Floors 7


Floor Plate 458m2

NLA 3,535m2

Owner Private


6 201 Existing $475 35% $62,500 LEASED

5 206 Spec $475 18% $80,500 LEASED

3 203 Spec $475 20% $77,500 LEASED

Grade B

Sector Retail

No. Floors 19


Floor Plate 737m2

NLA 11,667m2

Owner ING


11 242 Existing $540 35% Immediately


$85,000



9 355 No $540 35% $125,000 Immediately

Grade B

Sector Uptown

No. Floors 27


Floor Plate 688m2

NLA 19,771m2

Owner Quadra


19 288 Existing $550 30% Immediately


$111,000

13 153 No $535 30% $57,500 Immediately





Feature Suites Level 3, 97 Edward Street - 218m2


Case Studies

1 Eagle Street, Brisbane

Level 11, 1 Eagle Street, BrisbaneLevel 11, 1 Eagle Street, BrisbaneLevel 11, 1 Eagle Street, BrisbaneLevel 11, 1 Eagle Street, Brisbane

Positioned right on the riverfront, Waterfront Place is a commanding landmark on the

Brisbane skyline within the Golden Triangle, the epicentre of commerce and many essential

services and amenities. Waterfront Place is a Premium quality, 36 level tower with large

column-free floorplates, outstanding views, and dedicated onsite property management.

Lessee:Lessee:Lessee:Lessee: SCG LawSCG LawSCG LawSCG Law

SCG Law are a boutique law firm with a proud history of operations in the Brisbane market.

Deal Parameters:Deal Parameters:Deal Parameters:Deal Parameters:

Rent $775/m2 Effective

Area 110m2

Term 5 years

Incentive Effective rent

Lease Start December 2016

Fit out Spec

Comment: Comment: Comment: Comment: SCG Law have been in 110 Eagle Street for the last 30 Years and it was Dexus’

small suite strategy in 1 Eagle that has allowed them to take space in a premium building.

The fully fitted suite allowed them to act quickly and secure the space within 10 days of the

initial inspection.

127 Creek Street, Brisbane

Level 8, 127 Creek Street, BrisbaneLevel 8, 127 Creek Street, BrisbaneLevel 8, 127 Creek Street, BrisbaneLevel 8, 127 Creek Street, Brisbane

A 24 storey building with typical floor areas of 790sqm and 2 levels of basement parking. It

has recently undergone an extensive refurbishment which has boosted its exposure by

creating a new café and terraced stair entrance.

Lessee:Lessee:Lessee:Lessee: Res App Medical Ltd Res App Medical Ltd Res App Medical Ltd Res App Medical Ltd

Res App Medical are software developers working at the cutting edge of medical

technology and phone applications.

Deal Parameters:Deal Parameters:Deal Parameters:Deal Parameters:

Rent $580/m2

Area 191m2

Term 4 years

Incentive 18%

Lease Start October 2016

Fit out: Spec

Comment: Comment: Comment: Comment: Res App Medical is a new business to the CBD. They needed to be in

occupation within 2 months of initial inspection, and they were attracted to the quality and

design of the new display suite, as well as the data capabilities of the building.

Market Research

Overview

There was an uptick in organic enquiry in August which caught many by surprise as tenants demonstrated an urgency

to get the ball rolling on their accommodation procurement. In September, we saw increased deal-flow as tenants

capitalised on the momentum in the small-suite market. We expect this upswing in tenant activity to continue over the

next few months as businesses focus on their new goals moving into the 2016/17 financial year.

Below, we have included research which illustrates impressive level of activity which has taken place in the small suite

market over the last 5 months.

Small Suite Leasing (Since May 2016)Small Suite Leasing (Since May 2016)Small Suite Leasing (Since May 2016)Small Suite Leasing (Since May 2016)

MonthMonthMonthMonth DealsDealsDealsDeals Total AreaTotal AreaTotal AreaTotal Area Average AreaAverage AreaAverage AreaAverage Area

September 20 4,362 sqm 218 sqm

August 9 1,723 sqm 191 sqm

July 5 1,067 sqm 213 sqm

June 15 3,115 sqm 208 sqm

May 10 1,591 sqm 159 sqm

Last 5 monthsLast 5 monthsLast 5 monthsLast 5 months 59595959 11,858 sqm11,858 sqm11,858 sqm11,858 sqm 198 sqm198 sqm198 sqm198 sqm

Fitted space leads the way

Demand for smaller suites remains extremely strong and the success of speculative fit out strategies continues to lock-

in small businesses seeking to occupy a new workspace in a short timeframe. Tenants continue to be attracted to

quality fitted space because it allows them to make timely, well-informed decisions on their office requirement by

visualising their workspace in action and by avoiding the costs and delays of constructing a new fitout.

Since May 2016:

• 59 deals were concluded for office space below 500 sqm

• 91% of leased small-suites have been fitted out

• 48% of all deals have included new or speculative fit outs

Savills

Level 2 66 Eagle Street

Brisbane QLD 4000 savills.com.au/officeleasing

Looking for Office Space?

Look to Savills.

small suite report - savills australia | home · brisbane cbd - october 2016 savills.com.au...

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