Centuria buys Sydney CBD tower from Stockland for $56 million

Centuria Property Funds has added to its commercial property portfolio after entering into a conditional contract to purchase the 175 Castlereagh Street office tower in the Sydney CBD from Stockland for $56 million.

Centuria Property Funds is a wholly owned subsidiary of the ASX-listed Centuria Capital Limited, headed by CEO Jason Huljich, and has a commercial property portfolio valued in excess of $1 billion.

The property will be held in The Centuria 175 Castlereagh Street Fund, a single-asset, unlisted property fund and is expected to generate a return of 9% in its first year.

The 17-level building, located in the midtown precinct of the Sydney CBD, has 13 levels of commercial office accommodation and four levels of basement parking and has recently undergone a substantial refurbishment of the lobby, lift cars, some office floors and bathrooms.

It features around 12,000 square metres of net lettable area.

Stockland acquired the office tower in 1982 and is valued at $53 million.

The property at 175 Castlereagh Street is located immediately adjacent to the  new  50-storey office tower at 161 Castlereagh Street being built by Grocon, scheduled for completion in 2013. It is set to be Sydney’s newest premium-grade office tower, anchor-tenanted by ANZ.

Recent acquisitions by Centuria Property Funds include the purchase of the $23.3 million Canon Hill, Queensland property.


Larry Schlesinger

Larry Schlesinger

Larry Schlesinger was a property writer at Property Observer

Comments

Be the first one to comment on this article
What would you like to say about this project?