90 North, London-based global independent real estate investment adviser, has received international press coverage this week following its first Australian acquisition in the hotel sector.
In partnership with Middle Eastern Sidra Capital, a Saudi Arabian financial services company, 90 North has made its first Australian purchase in Queensland. Similarly, this transaction marks Sidra’s first foray into the Australian market in search of high quality, Shari’ah compliant assets that provide optimal returns to its investors.
The purchase is a brand-new 82 unit serviced apartment-style hotel named “Quest” in Greater Springfield. The development, which also includes a childcare centre and three ground floor retail units, has been let on 15-year leases with fixed uplifts.
Located south-west of Brisbane, Greater Springfield is Australia’s first privately built city and the country’s largest master-planned community (tenth largest globally). Quest Springfield Central, based in the City’s combined 52ha Health City precinct, which will have an ultimate value of A$6bn. It is located opposite one of Australia’s newest and most advanced private hospitals, the Mater Private Hospital Springfield and is next to special medical suites which are currently under construction. Quest Springfield Central will also support a significant regional cancer-care facility.
Having already attracted nearly A$15billion in both private and public investment, Greater Springfield continues to grow by about 18 per cent per annum and has experienced the largest population growth in Queensland over the past decade, ranking in the Top 10 across Australia. The current population stands at 36,000 and is projected to increase by 330% to reach over 138,000 by 2030.
Philip Churchill, Founder & Managing Partner of 90 North, commented:
We have now executed 32 acquisitions in UK, Europe, USA and Australia – demonstrating 90 North’s reach and ability to provide our investment partners with a geographically diverse range of high quality, well located income producing properties let on long leases to secure tenants.
Michael Dowling, Partner & Head of Australia at 90 North, commented:
Closing this deal, our first transaction in Australia, is a significant milestone for 90 North and one we’re very excited about. The development could not be in a better location, in the heart of the fastest growing economic hub in Queensland. It’s ideally positioned in the Health Care precinct, within walking distance to the main shopping area. The brand-new, beautifully-designed hotel complex is let on long-leases to strong, diversified tenants and I’m confident it will offer investors a highly attractive, secure income return.
Capitalising on Sidra Capital’s focused investment strategy, coupled with our expanding network of offices and partners, we are able to provide investors access to a wide range of unique and diversified investment opportunities and high-quality asset classes in global markets,” said Hani Baothman, Vice Chairman of Sidra Capital. “Accordingly, we are delighted to partner with 90 North in this acquisition, which extends Sidra Capital’s global footprint into the dynamic nation of Australia, the sixth largest country in the world, where the acquired property is strategically located in a prime area of Springfield, one of the newest and fastest growing cities in Queensland.
Maha Sinnathamby, Chairman, Springfield City Group, said:
We are delighted to welcome 90 North to Greater Springfield. We’re a fast-growing innovative city with outstanding education, health and technology facilities and this investment from a highly respected global company is further proof of our City’s success. Quest Springfield Central is an exceptional hotel complex and already providing business, healthcare and leisure visitors with high-quality accommodation in a fantastic and easily accessible location.
The story has been covered by several international publications such as:
Further information about Greater Springfield can be found at: www.greaterspringfield.com.au
Greater Springfield – Health City www.greaterspringfield.com.au/health/