Straits Trading Company Buys 2 Melbourne Office Bldgs For A$150mil
AUSTRALIA – Straits Real Estate Pte Ltd (SRE), a wholly-owned unit of The Straits Trading Company, is purchasing two freehold office buildings in Melbourne for a total of A$150 million, according to a Singapore Exchange (SGX) filing published on Friday afternoon (11 February, SGT).
In particular, the commercial properties consist of 1010 La Trobe Street, 192 Harbour Esplanade, and 163 parking bays, which are all situated in Docklands, which is adjacent to Melbourne’s central business district (CBD).
1010 La Trobe is a 9-storey Grade A office building with net lettable area (NLA) of about 165,269 sq ft. It’s fully occupied and its major tenants are Victoria Rail Track and the Department of Home Affairs. The freehold commercial property offers unobstructed views towards the Docklands marina and Marvel Stadium.
Meanwhile, 192 Harbour Esplanade is known as the Innovation Building. Situated next to1010 La Trobe, it is a freehold 5-storey Grade A office building with an NLA of around 62,205 sq ft. It is mainly leased by the National Broadband Network Company, a government-owned company that oversees the national wholesale broadband network of Australia.
Both properties are located close to transport nodes. In fact, there is a tram station at their doorstep that provides convenient and quick access to Melbourne’s CBD. Both freehold commercial properties are also just a stroll from the Southern Cross Station, Melbourne’s hub for regional rail lines and the city’s second busiest station. Additionally, both properties are just a 20-minute drive to Melbourne Airport via the M2 highway.
“Despite lockdowns and restrictions on workplaces in the past year, the Transaction is in line with the Group’s business expansion plans and is reflective of SRE’s confidence in post-COVID recovery of Melbourne commercial real estate,” stated The Straits Trading Company in its filing.
“In addition to strong recurring income, the properties present value-add opportunities including a planned upgrading at 1010 La Trobe that will include a new end-of-trip facility, redesigned ground floor lobby and refurbishment of communal facilities on each floor,” it added.