Artist's rendering of 369 Queen St, once converted to apartments.
The Conrad Properties Group has purchased an office tower at 369 Queen St, for $17.5m, in a deal negotiated by Savills associate director John Jefferson.
The eight-level building was acquired "off-market" from global asset management firm Phoenix International Investments by Conrad Properties Group, which has obtained resource consent to develop 111
high-end, strata-titled apartments in the building.
The deal follows Conrad's investment acquisition of the GroupM office building on 22 Fanshawe St in November, sold via Savills broker Harold McCracken.
Jefferson says 369 Queen St presented an excellent opportunity, adjacent to Auckland's educational and entertainment precinct.
"The building is right next to Myers Park and provides a fantastic outlook over the park and cityscape. It's a great spot for a new residential development in the city, with the upcoming Aotea Station, Town Hall and universities all nearby, alongside the restaurants and bars of the theatre district."
Redeveloping office buildings for residential use has been a winning formula around the Auckland CBD and in other leading cities across the world, Jefferson says.
"Developers are meeting the demand for inner-city living, while at the same time breathing new life into older buildings and adding benefits to the immediate surroundings. 369 Queen St will undergo extensive improvement via conversion, rebuilding and extending the current structure prior to fitting out the new, luxury, apartments."
The building, constructed around 1980, has 7340sq m of floor area including eight office floors, ground floor retail and basement levels.
It sits on a 1037sq m freehold site opposite Whitireia Polytechnic and next to a Quest apartment building.
The completed structure will be 12 storeys, four levels higher than the existing building, says Jefferson.
"Conrad has already pre-sold over 70 per cent of apartments and anticipates works beginning in the second quarter of next year."
The development, named Queens Park Residences, features a concierge, outdoor heated swimming pool, gym, three ground floor retail units and a community garden.
Conrad Properties Group, which is Auckland's largest apartment developer, has an extensive development and investment portfolio.
Among its current residential projects are The Vincent at 106 Vincent St and Union & Co at 15-17 Union St, both of which have been entirely pre-sold.
This year Conrad completed Queens Square at 438 Queen St, Victoria Residences at 75 Victoria St West and Park Residences at 35 Albert St, bringing over 500 new homes.
