This article is from the Australian Property Journal archive
WITH Australia Post secured as its anchor tenant, Charter Hall’s $410 million fringe office development is set to transform Richmond’s Swan Street precinct.
In Partnership with Victoria Funds Management Corporation (VFMC), the Charter Hall Prime Office Fund has secured a 10-year pre-lease agreement with Australia Post at its 480 Swan Street development in Melbourne’s Richmond.
Charter Hall will deliver for Australia Post a purpose-built workspace for their new Melbourne home, as they exit their current CBD headquarters in Bourke Street.
Australia Post became one of the first multibillion corporations to step away from Melbourne’s CBD, as city fringe locations offer office developers and tenants a ‘closer to home’ alternative, in a quickly shifting, pandemic accelerated, workplace environment.
“We are proud to partner once again with Australia Post to deliver a purpose-built solution for their head office space requirements. This builds on our 20-year partnership in providing retail space within our shopping centres and ‘High Street’ retail assets and delivering multiple long-term and short-term logistics space solutions over many years,” said David Harrison, managing director and group CEO of Charter Hall.
With the purchase site contracted and planning approvals secured, 480 Swan Street will upon completion include 32,000sqm of office space over 12 levels, as well as 1,00sqm of ground floor retail, with 3,000sqm floor plates.
The completed development will see a campus-style workplace, with a design for greater pedestrian connectivity to the lifestyle benefits and amenities of Richmond and easy access via not just ample public transport links, but also the nearby M1 Motorway.
“Equally, we are pleased to provide our investor partners in CPOF and VFMC with resilient total returns by delivering a modern commercial asset that integrates world-class technology and meets their expectations for sustainable property investments,” added Harrison.
The development will target a 6-star Green Star rating and a 5-star NABERS Energy rating and will be constructed under a carbon neutral framework.
Charter Hall will also upgrade surrounding infrastructure, including a pedestrian pathway from the Burnley train station to Swan Street.
“Charter Hall has a long track record in delivering placemaking precincts that go beyond the workplace and offer our customers amenity-rich experiences,” said Sean McMahon, CIO of Charter Hall.
“480 Swan Street is set to be a transformational project for the Burnley precinct, with a significant upgrade to the office offering in the area as well as improvements to the surrounding infrastructure, which will benefit the local community.”
Charter Hall has secured the project with developer PDG Corporation and has for again appointed Built to deliver the construction of development.
“PDG is pleased to play a part in bringing Australia Post to Richmond and we would like to thank our partner Charter Hall which will ensure the successful delivery of this development. PDG and Charter Hall’s collective vision for Australia Post’s new Richmond headquarters was informed through world-class workplace design with a focus on innovation, sustainability and equality,” said Vince Giuliano, founder and managing director of PDG Corporation.
The construction of the project is set to commence in the coming months and anticipated to create 750 jobs.
“We are delighted that this decision will also deliver hundreds of jobs during the construction phase and even more beyond completion, and will reinvigorate this pocket of Richmond for the shared benefit of the local community and future office workers alike,” added Giuliano.
The 480 Swan Street development is currently scheduled for a 2024 completion.
