Dexus dumps $ 555 million in Sydney office assets

0

Dexus dumps $ 555 million in Sydney office assets as it heads to other investment opportunities.

The group sold its 50 percent stake in 309-321 Kent Street, Sydney for $ 401 million to Hong Kong-listed Liu Chong Hing Investment Limited and Ashe Morgan.

The two office buildings were 93 percent occupied and the weighted average lease term was 3.5 years.

The deal was a continuation of the duo’s office buying spree which also included 310 Ann Street, Brisbane for $ 210 million in March.

The other Class A office building at 150 George Street, Parramatta and the adjacent 2,271m² site were also sold, just before Christmas, for $ 154 million to an undisclosed buyer in an unsolicited deal. and off the market.

Commonwealth Bank of Australia recently left the site with 21,964m² of space which has approval for a 33-story office building.

The proceeds from the sale would initially be used to repay debts as the ASX-listed company targets “short-term growth prospects in the industrial and healthcare sectors.”

Dexus bought Perth’s Jandakot Airport and surrounding parcels for $ 1.3 billion and developed its local REIT in recent deals worth over $ 21 million.

Despite the change in investment strategy, the group was still confident in the office market which Dexus CEO Darren Steinberg expected to improve after Australian Day.


Source link

Share.

Comments are closed.