This article is from the Australian Property Journal archive
TELSTRA has renewed its lease at the Argus Centre, 300 LaTrobe Street Melbourne, owned by Charter Hall Office REIT.
The building is currently undergoing refurbishment and on completion, Telstra will enter into a new 12 year lease from 1 January 2013. The refurbishment will achieve a 4.5 NABERS Energy rating, in line with both Charter Hall and Telstra’s commitment to sustainability.
Telstra has recommitted to 23,482 sqm on levels 17 to 34, over 70% of the building, increasing the building’s weighted average lease expiry from 0.4 years to 10.5 years. The lease extension increases the Australian portfolio’s WALE from 3.7 years to 4.4 years.
“Telstra has been the major tenant in the Argus Centre for 15 years and we are delighted to not only be extending their tenancy but to also be undertaking the refurbishment of the building in partnership with them,” CQO CEO Adrian Taylor said.
Taylor said Argus Centre is one of the trust’s flagship assets and is 100% leased. This lease represented the REIT’s single largest lease expiry for the 2011 financial year across its entire portfolio.
He added that lease expiries for the Australian portfolio over this financial year now represent only 6% of net lettable area allowing the team to focus on leasing up available space and working with existing tenants to renew leases well ahead of expiry.
Australian Property Journal
