Charter Hall has bought the Optima Centre office park in Osborne Park for $126.2 million and will hold the asset across two of its investment trusts.
The fully leased campus at 16 Parkland Road has 16,116sqm of office space on a 9459sqm site and produces an annual net income of just over $9 million. It was marketed by JLL and Colliers International.
The asset is leased to blue-chip tenants, including the WA Government, which will occupy 83 per cent of the building until mid-2032. Other tenants include Canon Australia and ABN Group.
The Charter Hall Long WALE (ASX:CLW) real estate investment trust tapped institutional investors for $60 million to help fund the acquisition its share of Optima Centre as well as a Sydney industrial asset.
The acquisition of Optima Centre continues the strong interest shown by investors in Perth’s office market this year.
Major commercial office building transactions to date in 2018 include the $53.4 million sale of 45 St Georges Terrace, 6-8 Bennett Street for $43.5 million, 441 Murray Street for $22 million, 55 and 182 St Georges Terrace for $44.2 million and $21.1 million respectively, 202 Pier Street for $125.25 million, 836 Wellington Street for $102.5 million and 1 Havelock Street for $33.9 million.
Transactions that are unconfirmed, but anticipated to be completed by year end, include18-32 Parliament Place in an off-market deal valued at around $35 million, and 16 Frobisher Street in Osborne Park for a rumoured $15 million to $20 million.
AMP Capital and Primewest, co-owners of Perth’s premium grade Exchange Tower, have both put their 50 per cent holdings of the tower to the market, allowing a potential buyer to acquire the entire asset. It is expected to be valued at up to $350 million.
Charter Hall also holds investments in Raine Square and Bankwest Place, and 225 St Georges Terrace in Perth.