Quest is set to operate another 130 apartments in Adelaide, following the signing of a lease for the entire serviced apartment component of a new landmark development at 70 Franklin Street in the city’s CBD.
Quest Serviced Apartments General Manager – Locations, Andrew Weisz has confirmed that the Quest Group recently signed an agreement to lease for the entire serviced apartment component of the mix-used development.
“Quest is thrilled to be leasing the serviced apartments in this premium CBD location. Adelaide is fast becoming an international hub for the corporate sector, so it’s imperative that our business follows corporate travellers as they move into the city.
“This development, along with other major projects in Adelaide, represents a great opportunity for the serviced apartment industry and Quest will continue to respond to corporate demands for quality accommodation,” he said.
Colliers International’s National Director of Office Leasing, Nicholas Shinnick, said construction is well underway at the 70 Franklin Street project and the project is on track for a completion in early 2013.
“This is a substantial mixed-use development, one of the biggest to get underway in the city for at least a decade,” he said.
“The adjoining 700 bay car park in Young Street, Young Street Car Park, is already complete and as well as the 20,000sq m office component and retail offering of some 700sq m, the development will incorporate 131 serviced apartments.”
He said the decision to include a residential component comes of the back of Adelaide’s high occupancy rates for short term apartments.
Shinnick said for the developer, Kyren Group, it is about achieving best practice in terms of green credentials, building design and operation while still being commercially viable in today’s market.
70 Franklin Street has just achieved a Green Building Council of Australia 5-Star rating and a modelled NABERS 5-Star rating.
70 Franklin Street developer, and Kyren Group Managing Director, Theo Samaras said energy efficient green buildings translated to greater rental values, higher occupancy rates, and, ultimately, higher asset prices.
“Investing in 5 Star Green Star buildings is a way to stand out in the marketplace and to attract premium tenants,” Samaras said.
“In the future, a 5-star build is likely to be the normal benchmark. With the right project team, these developments can deliver on the bottom-line.”