EG sells business park in Melbourne for $76 million

Real estate fund manager EG Funds Management has recently sold a business park from the Core Plus Fund No. 1 portfolio in Melbourne’s Mount Waverley for $76.3 million.

The Gateway Business Park is located at 495-501 Blackburn Rd. The property currently has two tenants, Leica Biosystems and Metricon Homes, on long-term leases.

Its net lettable area (NLA) is more than 22,000 sqm and includes several offices, a laboratory, and warehouse and storage facilities.

EG bought the property in 2014 for $63 million. 

After a number of unsolicited approaches, EG said it made a “strategic decision to divest the property to capitalise upon strong cap rate compression and market appetite for quality product offering future upside”. 

The asset was purchased by FIFE Capital, a Sydney-based alternative asset manager.

The deal was brokered by Chris O’Brien, Rory Hilton and Kiran Pillai of CBRE.