This article is from the Australian Property Journal archive
A REAL estate fund managed by EG Funds Management has bought a Melbourne office building from Harry Stamoulis for $45.9 million.
The is the first Melbourne CBD office asset for the Core Plus Fund No. 1.
The Stamoulis family bought the 277 William St property in 1999 for $7.8 million.
The sale is one of two assets Stamoulis put on the market in May this year including 120 Spencer St, which was reportedly under diligence for $150 million. The family paid $10.5 million in 1995.
Located within the core legal precinct and adjacent to Flagstaff station, the 12-level office building comprises approximately 12,071 sqm of space plus 32 basement car parks. It is currently 90% occupied to a number of tenants including Tenix Solutions,
Shine Lawyers and Medibank, with a 3.5 year WALE.
EG Funds Management (EG), one of Australia’s leading non-core real estate fund managers, has acquired a commercial office building in Melbourne CBD for $45.9 million for the Core Plus Fund No. 1.
EG divisional director Daniel Farley said the property is a true Core Plus offering, benefiting from strong underlying lease covenants with the opportunity to add value through capital upgrades and active leasing.
“The asset is well positioned to benefit from strong rental reversion during the projected hold period, together with a staged cosmetic and plant refurbishment program,” Farley said.
This property is the seventh asset acquired for the Core Plus Fund No. 1.
The 277 William St property was sold by CBRE’s Kiran Pillai, Mark Granter and Mark Wizel.
Australian Property Journal
