Fortis forges into Brisbane with purchase of two luxury project sites

Fortis has acquired 44 O’Connell St in Kangaroo Point for a $100m project with 14 levels of luxury full-floor apartments.

Developer Fortis has snapped up two new sites in Brisbane, locking in its expansion into Queensland’s top-end residential and office markets.

The company has picked up properties in Brisbane’s Kangaroo Point and Newstead, and will develop them into luxury projects with a combined end value of $165m.

They will be funded by Pallas Capital, the non-bank lender arm of Pallas Group, which has backed Fortis’s expansion along the eastern seaboard.

The deals were negotiated by Simon Caulfield from Place Kangaroo Point, on the Kangaroo Point site, and Clinton Mallon of Elders Commercial on the Newstead site.

“The last few years have been exceptional for Fortis, as we expanded our portfolio across the eastern seaboard with premium projects in Sydney and Melbourne. Launching in the Brisbane market was a natural progression for us, allowing us to introduce the Fortis approach to newer markets and audiences,” Fortis director Charles Mellick said.

The Kangaroo Point project is billed as an absolute riverfront site with no public parklands or roads blocking the frontage. Fortis believes it has picked the market turning.

“The timing is right as we see record-breaking activity in the off-the-plan luxury market in Brisbane, alongside record prices being achieved in square metre rates. With a cumulative end value of $165m, we are confident that both projects will be well received, and we are excited to be delivering them to the Brisbane property market,” Mr Mellick said.

The development application for the 1196sq m riverfront site on 44 O’Connell St in Kangaroo Point is expected to be lodged by March. The $100m project will span 14 levels with luxurious full-floor apartments topped by a two-level penthouse.

The project will sport a wellness centre, riverfront pool and outdoor entertaining, as well as a pontoon with a private mooring.

There will also be a private rooftop and pool for the penthouse.

Meanwhile, the planned $65m development on 12 Kyabra St in Newstead will offer premium office space, with ground floor retail. The site will also become the Queensland headquarters for Pallas Group, after being picked up for about $6m.

The 921sq m site has existing development approvals for an 11-storey office tower, but new plans have just been lodged for a 4500sq m project that will begin mid-year.

Pallas Group is the parent company of real estate financier and investment manager Pallas Capital and developer, Fortis, which is planning $5bn worth of projects.