Brisbane ripe for student conversions  

After 30 years of ownership, Brisbane based PGT Investments has sold Elizabeth Arcade in Brisbane CBD to Singapore-based El Camino Priority II Trust for $28 million.

The new owner has plans to convert the building into student accommodation with 1000 beds.

Earlier this year, El Camino’s parent company Valparaiso purchased 363 Adelaide Street and 38 Wharf Street in Brisbane’s CBD with plans to develop student accommodation under the brand ‘Student One’.

The Elizabeth Arcade is situated in the centre of the rapidly growing food and fashion precinct of Albert and Elizabeth Streets.

Tom Phipps and Jason Lynch of Colliers International negotiated the off-market deal.

“Student accommodation is ideal for the site, due to its two street frontages and requirement for minimal car parking,” Phipps says, adding that the long, narrow site is less suited to residential development.

The proposed development is likely to occur after 2018, subject to council approval.

Colliers says Brisbane is a highly-attractive destination for student accommodation developers, with Brisbane City Council temporarily reducing infrastructure charges for student accommodations within a four kilometre radius of the Brisbane GPO.

“The precinct is also experiencing massive re-development and new infrastructure spending, being only 200 metres from the proposed $2 billion Queens Wharf integrated resort and casino site,” Phipps adds.