Australian Financial Review – 1st October 2014
An artist’s impression of the first tower at South/City/SQ in Brisbane.
Private developer Pellicano and joint venture partner Perri Projects have been given approval for the first tower in their $550 million mixed use project South/City/SQ in Brisbane’s Woolloongabba.
Site works have begun, with the first $60 million tower of 118 apartments to be built over 14 storeys in early 2015.
Pellicano Group joint managing director Nando Pellicano said the appetite in Brisbane for apartments was still very strong.
“From a demand point of view its quite good – the numbers are still making sense and the yields are still great compared to Sydney and Melbourne,” Mr Pellicano said.
“The demand-supply equation in Brisbane is still good and I think a lot of development applications may never see the light of day. And there is a big difference between getting a DA and not getting one.”
Perri Projects director David Scalzo said the venture with Pellicano on such a significant site provided a good opportunity for both companies to strengthen their presence in south-east Queensland and establish themselves in the emerging Woolloongabba area.
The developers announced plans for the 2.1-hectare site in Woolloongabba, about 4.5 kilometres from the central business district, this time last year. The developers plan to build up to 1000 apartments in the village.
The first tower comprises a mix of designer one-, two- and three-bedroom apartments with high-end finishes and a rooftop recreation deck with a pool, spa, residents’ lounge, barbecue and dining areas, sun lawn and teppanyaki bar.
“We have engaged a high-powered team of respected consultants with international experience, including DBI, Woods Bagot, who are behind the masterplan and retail design, and Oculus – the team driving the urban design and landscape architecture,” Mr Pellicano said.
by Matthew Cranston