City Developments Limited (CDL) announced on Thursday that it is jointly developing a prime residential land site in Brisbane’s highly sought after South Bank precinct with Australian developers Abacus Property Group and KPG Capital.
CDL and Abacus will provide the majority of equity funding via a preferred equity interest of approximately A$30 million each.
The 472-unit project (pictured) comprising two 30-storey towers will be developed on a 2,733 sqm freehold site at Merivale Street, and will have a gross development value of around A$275 million.
According to CDL, works have started and both towers have been launched for pre-sales, attracting a very positive response from buyers.
The site is close to the South Brisbane Train Station and major universities, and offers easy accessibility to Brisbane’s central business district and the upcoming Queens Wharf integrated resort. Future plans for the area will include over A$5 billion of proposed infrastructure investment.
Kwek Leng Beng, CDL’s Executive Chairman, said: “Our re-entry into Australia’s residential market is in line with CDL’s overseas expansion strategy, which we announced two years ago to supplement our existing Singapore operations. Brisbane’s residential market remains highly attractive due to its affordability when compared to other major cities in Australia. Both domestic and international buyers are looking to Brisbane for greater value and higher yield.”
CDL has been developing projects in Australia since 2003, with properties in Brisbane, Sydney and Perth.
Romesh Navaratnarajah, Senior Editor at PropertyGuru, wrote this story. To contact him about this or other stories email romesh@propertyguru.com.sg
