20/02/2008 - 22:00

Prime CBD office space snapped up

20/02/2008 - 22:00


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With Perth’s office vacancy rates at record lows, two major Perth lessees have finally pinned down space in new high rise developments in the CBD.

With Perth’s office vacancy rates at record lows, two major Perth lessees have finally pinned down space in new high rise developments in the CBD.

This week, engineering group Clough Ltd was confirmed as the anchor tenant for the $220 million Alluvion office tower on Mounts Bay Road, following the move by banking giant NAB, which pre-committed to the $300 million Century City project at 100 St Georges Terrace last week.

The 20-level Alluvion, which is due to be completed in April 2010, is a joint venture development between Charter Hall Ltd and Cape Bouvard Investments.

As foreshadowed in WA Business News last September, Clough has secured a lease over 12,560 square metres of office space over levels seven to 14 in the 22,500sqm building.

The project comprises 14 levels of commercial office space, three levels of secure car parking and a triple height foyer, and is aiming for a 4.5-star Australian Building Greenhouse Rating.

Cape Bouvard general manager Lee Pinkerton said the company was confident the building would be fully let soon, given agents Jones Lang LaSalle were close to finalising negotiations with tenants.

Cape Bouvard has previously confirmed it will occupy the upper levels of the building.

NAB officially confirmed Perth’s worst kept property secret last week when announcing it will anchor the new Century City retail/office project.

NAB has taken a long-term lease over 8,900sqm of office space and will open a two-storey retail headquarters on the St Georges Terrace and Hay Street levels.

The project, which is now 60 per cent leased by NAB and Japanese oil and gas company Inpex, is a joint venture between the Industry Superannuation Property Trust and Axiom Properties Ltd.

It will be the first of the major office developments out of the ground in March 2009.

Axiom managing director Ben Laurance said last week that National Bank had been attracted to the building by its 4.5-star ABGR green rating and unique location, with wide frontages to St Georges Terrace and Hay Street.

“When Century City opens in March next year, it will re-open the most prominent pedestrian ant-track between Perth’s major office street and its retail hub for the first time in 30 years,” Mr Laurance said.

Other major tenants to take the pre-commitment plunge recently include energy and resources player WorleyParsons Ltd at Multiplex and Hawaiian’s Bishops See stage-one tower, and Hamersley Iron to the redeveloped Wesley Quarter site.

Property pundits are now waiting to see who will take the balance of the Century City office component, and the larger 46,000sq m stage-two Bishops See project, to be developed by Hawaiian and Multiplex.

Major identities either formally or informally in the market for significant office space include Chevron, GHD, Monadelphous and the Department of Premier and Cabinet.


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