This article is from the Australian Property Journal archive
SENTINEL has made its first step into the South Australian market, acquiring a prime grade office asset in the Adelaide CBD for $25 million.
The 2009-constructed mixed-use property, The Conservatory, at 131-138 Grenfell Street in Adelaide was snapped up by the Sentinel Northern Australia Investment Fund from a private investor at an initial yield of 8.02%.
Located on a prominent corner site Adelaide’s core CBD precinct, The Conservatory on Hindmarsh Square contains 4,040sqm of open plan office space from levels five to nine.
The property recently underwent upgrade works including the refurbishment of its lobby, with new end-of-trip bike storage facilities.
“South Australia and Adelaide are in a period of significant development led by several major private and public capital projects, infrastructure upgrades, and public transport improvements,” said Warren Ebert, CEO of Sentinel.
“Key economic drivers moving forward include almost $18 billion in budgeted State infrastructure spending, including Adelaide CBD infrastructure projects, Adelaide BioMed City, Riverbank Arena, Entrepreneur and Innovation Centre and multiple other development projects. Sentinel sees a strong decade ahead for the festival state and we are actively seeking other acquisitions.”
The asset is currently 100% securely leased to both state and federal government tenants, including SA Health and the Australian Trade and Investment Commission.
Sitting within close proximity of the popular Rundle Mall retail strip, the property boasts easy access to public transport and amenities, with ample retail, hospitality, hotel and parking offerings.
The Conservatory was awarded the best High Density Residential Development, the President’s Award at the 2009 SA UDIA and was a finalist in the national BPN Sustainability Awards.
The Sentinel Northern Australia Investment Fund now holds five assets, including two in Mackay and two in Darin, with the most recent purchase a fully NT government-leased Palmerston office building.
Meanwhile in April, works begun at Sentinel’s $150 million 172-apartment development at 164-168 Roden Street in West Melbourne, its first Victorian build-to-rent project.
