This article is from the Australian Property Journal archive
MACQUARIE Office Trust has officially reopened its 2 Market Street property in Sydney's CBD, following a $46 million makeover.
The successful venture with co-owner and key tenant Allianz Australia Ltd has delivered a project return of over 30% and included the redesign of the existing forecourt and the construction of a new seven level office complex.
In keeping with the trust’s objective of an average Australian Building Greenhouse Rating of 4.5 stars by 2012, the new building also offers current best practice in environmental sustainability, targeting a 5 star ABGR.
The project was completed in 19 months and has repositioned the property to reflect a high quality A-grade office building, with Allianz currently finalising their staged operational occupancy.
Macquarie Office Trust’s chief executive officer Adrian Taylor said the repositioning on the site has resulted in a cache of high quality long term leases including Caltex (10 years), Allianz (12 years) and Fitness First (15 years).
The office space is 100% occupied with a weighted average lease expiry of 9.2 years and an expected average annual rental growth of more than 4%.
Retail space is almost fully leased with only one tenancy remaining vacant.
Australian Property Journal
