This article is from the Australian Property Journal archive
QUINTESSENTIAL Equity has turned around the fortunes of a Canberra asset it acquired 14 months ago, raising the occupancy rate from 45% to 93% following a number of leasing transactions.
Quintessential Equity has secured the Master Builders Association (MBA) as a new tenant and announced a new lease agreement and extension with the Commonwealth Government at 44 Sydney Avenue, Forrest.
Purchased for $32 million in March last year, the building had an occupancy rate of only 45% shortly thereafter, and Quintessential Equity embarked on a refurbishment. The government’s expansion and MBA’s new seven-year lease has increased the building occupancy rate to 93%.
The new leasing arrangements will see the Commonwealth Government extend its stay at 44 Sydney Avenue until 2021 while the MBA’s lease expires in 2023.
Quintessential Equity head of property, Russell Bullen said the company’s building enhancement program has significantly improved conditions and energy efficiency.
“When we acquired 44 Sydney Avenue in early 2015 it required capital investment to improve it both aesthetically and environmentally for existing and potential tenants.
“Like all our properties, we took a collaborative approach to improving this building and involved our existing tenants in all our plans from the get-go. We carefully listened to their requirements and worked to adapt the space to their needs,”
“This hands-on, proactive approach to tenant management has led to us securing a leasing extension with our primary tenant, the Commonwealth government, while simultaneously allowing it to grow its footprint in the building to almost 75% of the total area.
“When combined with the addition of the MBA as a new tenant, we have now reduced the vacancy rate at 44 Sydney Avenue to a mere 7%. I look forward to working closely with all our tenants over the coming years,” Bullen said.
Colliers’ Michael Ceacis and Raine and Horne Commercial handled the leasing for the building.
Australian Property Journal
