Sentinel Splurges $132 Million on Olympic Office Asset
June 30, 2025
Leading syndicator Sentinel Property Group has acquired the most expensive office asset in its 15-year history with the purchase of an award-winning, fully leased 5-Star Green building in the heart of the 2032 Brisbane Olympic precinct for $132.01 million.
Green Square South in the Brisbane CBD Fringe at 505 St Pauls Terrace, Fortitude Valley, was the first building in Queensland to be awarded the prestigious 5-Star Green Star rating for office design. The five-level A-Grade office building fully leased to Brisbane City Council is on a 6,426 sqm site and offers 17,618 sqm of lettable space and 355 basement car parks.
The purchase price, which represents a 13.54 per cent yield, easily exceeds the $103 million office acquisition in 2019 by Sentinel of Makerston House in the Brisbane CBD. The Group currently manages more than 60 investment-grade assets valued at circa $2.4 billion.
Sentinel CEO, Warren Ebert, said Green Square South, secured following a $86.1 million capital raising, would be the first property in the Sentinel Games Precinct Trust, the highest yielding active trust open to investment at 8.5 per cent net per annum.
“Sentinel is excited to acquire this office asset which is a welcome addition to our recent purchases of tenanted office buildings,” Mr Ebert said.
“These include 60 Edward Street in the Brisbane CBD’s Midtown precinct and the Doris Blackburn Building at Forrest in Canberra, which were both acquired for $72 million and both well below replacement cost.
“Green Square South is also an opportunistic acquisition, with a $73 million discount to previous book value. The building is fully leased to Brisbane City Council and provides substantial holding income above forecast distributions to support the repositioning of the asset.”
Mr Ebert said Green Square South is in a prime Brisbane Olympic location with one of the largest floor plates in the Fringe market at 4,600 sqm, enabling floors to be split.
“Brisbane’s population growth is forecast to grow by one million by 2032, requiring 473,000 sqm of new office space,” he said.
“There are A-Grade office supply constraints in the Fringe with strong rental growth and record low vacancy below its historic average to 9.50 per cent. Overall vacancy in Fortitude Valley is forecast to hit 4.0 per cent by 2028 which will further drive strong rental growth. Green Square South will be in a unique position to capture this with limited competition.”
Mr Ebert said the 2032 Olympics will deliver a $184 billion infrastructure boom in major Queensland projects.
“Green Square South is within 500m of key Olympic venues such as the new Brisbane Athletes Village which will host 10,000 athletes and officials and the 22,000 seat RNA Showgrounds Arena,” he said.
“It’s just 1.5km from the $3.78 billion Victoria Park Stadium and the $650 million National Aquatic Centre. The asset offers unrivalled connectivity and amenity being just 75m to Fortitude Valley Railway Station, 500m to Cross River Rail, and nearby quality retail precincts James Street, The Calile Hotel, King Street and Valley Metro.”
Established in 2010, Brisbane-based Sentinel Property Group is an Australian property investment firm focused on commercial and industrial property trusts. Sentinel’s trusts are consistently ranked as the best performing of their kind in Australia.