This article is from the Australian Property Journal archive
ALTIS Property Partners is hoping to net more than $280 million from the sale of the Space 207 office complex in Sydney’s St Leonards, joining the glut of owners putting their assets to the market at an uncertain time for the sector.
In this case, the suburban location is expected to favour the vendor as the major cities remain all but empty and their towers unlikely to be as active as they were prior to COVID.
There is more than $6 billion worth of office assets on the market, including Lendlease and Abu Dhabi Investment Authority’s Darling Quarter, home to the Commonwealth Bank, and which could reap $1.2 billion.
Dexus is shopping around $1.75 billion of buildings. The Blue Tower Complex in Brisbane is the latest on the block.
Space 107 consists of two A-grade buildings and was bought by Altis for $170 million in 2015. Major tenants include Toyota, HammondCare and Wood and Grieve Engineers for a three year weighted average lease expiry.
Building has 6,626 sqm of office space over six levels plus 809 sqm of retail on the ground floor, while the larger Building B has 11,826 sqm of offices across 10 levels, and two retail levels totalling 1,150 sqm.
ASX-listed Centuria earlier this month spent $68 million for 203 Pacific Highway in the same suburb, adjoining its existing 201 Pacific Highway asset.
Altis has also just welcomed Starwood Capital and Arrow Capital Partners into a $760 million recapitalisation agreement for 12 office and industrial assets across Sydney, Melbourne and Brisbane.
Arrow and Altis also recently acquired two Brisbane industrial and logistics investments for $101.6 million, while back in Sydney Altis, Frasers Property Industrial and Aware Super are constructing a $1 billion industrial and logistics estate in Kemps Creek.
In Melbourne, Altis secured streaming news network Ticker News as the first tenant for its 21,000 sqm inner city office development in the popular Richmond market, which has just undergone a $15 million renovation.
Across Sydney, the City of Parramatta Council has just paid $64 million for a seven storey, 7,650 sqm office building that will become its administrative headquarters from 2023, and Growthpoint splashed out $52 million on a Charter Hall A-grade office asset in Olympic Park.
