Ord St overhaul boosts office occupancy

Within three months of completing a $3 million refurbishment, Stirling Capital’s 1960s West Perth office is fully leased.

The three-storey office, located at 3 Ord Street in West Perth, comprises 1,105 square metres of lettable area.   

The leasing deals were jointly brokered by LJ Hooker Commercial Perth and Knight Frank, securing Discovery Capital, Poseidon Nickel Limited, Mainsheet Capital and Competentia as tenants on four to five-year terms.

Recruitment business Competentia signed the largest lease, occupying the entire third level of the building (387sqm).

LJ Hooker Commercial Perth executive Jack Bradshaw said enquiries jumped once the revamp was nearing completion, with the property located in a prominent position on Ord Street.

“We are seeing strong demand for refurbished high-quality West Perth offerings between 150 – 350sqm,” Mr Bradshaw said.

“Low outgoings and excellent sustainability features were several elements that assisted in achieving this result in a short period of time.”   

The refurbishment, which was designed by Studio Niz and built by Encon Construction, involved upgrades including the development of a new pedestrian entry, replacement of the building’s façade with a double-glazed curtain walling system, as well as the addition of end-of-trip facilities and electrical upgrades.

Part of the office overhaul also included the installation of solar rooftop panels, which lifted the building’s environmental performance from a 3.5-star Nabers rating to 5 stars.

Leasing incentives for the building were minimal, Mr Bradshaw said, and included fitout contributions, monthly rental abatements or a combination.

The smaller-sized tenancies on offer – 281sqm, 154sqm, 283sqm – was another likely drawcard.

Last year Stirling Capital managing director Luke Reinecke told Business News increased flexibility in the workplace had moved beyond a fad and had influenced workplace spatial requirements.

This was part of the reason the property’s floor plates were split into smaller tenancies.

 “While a majority of tenants delayed making decisions on leasing during the lockdown period, we’ve not seen a further softening of rents for buildings that are offering quality finishes and an enjoyable resident and visitor experience,” Mr Reinecke said.

“We’ve noticed an increase in enquiry for both smaller tenancies and satellite tenancies for larger companies.

“Satellite tenancies provide the ability to mitigate the kind of risk and issues created by COVID by providing the option for multiple sites.”