This article is from the Australian Property Journal archive
VIVA Energy, formerly known as Shell Australia, has signed a major lease at 720 Bourke St, owned by Cbus Property.
This is the first major lease secured by Cbus Property since completion in July. Medibank anchored the 720 Bourke St development in 2010 with a 30,000 sqm pre-commitment.
The leasing terms for the Viva deal are understood to be in accordance with asking rents and market incentives in the Melbourne CBD.
Viva Energy will move from Hawthorn after securing 4,400 sqm, occupying one and a half floors at 720 Bourke St.
Colliers International’s Andrew Beasley and Ben Christie negotiated the lease.
Viva Energy was represented by CBRE’s global corporate services Terry Dohnt, while Paul Grgurich is the senior executive within Viva Energy who will be coordinating the relocation.
Beasley said Viva was making the most of favourable market conditions to relocate from the suburbs and into the city.
“One of the significant drivers of leasing activity in the Melbourne CBD in 2014 has been the migration of metropolitan tenants back to the CBD.
“Viva was attracted to the central location, easy access to the freeway, the proximity to public transport and the quality of the building. With large efficient floorplates of approximately 2,800 sqm and strong green credentials, 720 Bourke St ticked all the boxes,” Beasley added.
Meanwhile Christie said 720 Bourke St continued to generate solid interest.
“Tenant feedback on inspections since the building achieved completion has been overwhelmingly positive. The views and natural light from the high rise floors are breathtaking.
“We have had very strong interest on the balance of the building, and are confident of leasing the remaining 12,500 sqm by the end of the year, with several parties in progressed negotiations,” Christie said.
This is the second major leasing deal at Docklands this month. Last week, law firm Maddocks signed a 10-year lease at Lang Walker’s $2 billion Collins Square, occupying three floors totalling 7,000 sqm at Tower 2.
Australian Property Journal
