Keppel REIT’s Office Property In Sydney Secures An Anchor Tenant
AUSTRALIA – Singapore’s Keppel REIT has secured Equifax as an anchor tenant for its Blue & William office project in North Sydney after the American credit rating agency had moved out of two separate offices in the area, according to a report from The Business Times earlier this week.
Keppel REIT’s manager revealed that Equifax has agreed to occupy 4,350 sq m (approx. 46,823 sq ft) of office space across levels 5 and 7 of the office development, which make up about 33 percent of the office project’s overall net leasable area (NLA).
As a result, nearly half of the office space in Blue & William has been taken up. Situated in the junction of William Street and Blue Street, the commercial property’s other tenants include Northbrew Cafe and Human Synergistics, a multinational consulting company that is poised to move in by early-2023.
Previously, Keppel REIT purchased the North Sydney office development in December 2021. The 10-storey office project was built by Lendlease, which also acted as the investment manager in the transaction.
DBS Group Research reckons that Blue & William will contribute around 4 to 5 percent of Keppel REIT’s net property income (NPI) once the commercial property is fully occupied. Even though the office development is still half vacant, Lendlease agreed to offer a three-year rental guarantee.
DBS Group Research said Blue & William office securing a reputable anchor tenant bodes well for Keppel REIT. Being strategically selective in regards to its office tenants aims to ensure income visibility for the Singapore-listed real estate investment trust (S-REIT) over the coming period.