The newly created Spirit Super has acquired Parliament Square, a prime mixed-use development in central Hobart, for around A$330m (€209m).
It is the first real estate acquisition for the A$26bn Australian superannuation fund since it was created earlier this year through the merger of MTAA Super, an industry fund for the motor trades, and Tasplan, a Tasmanian state superannuation fund.
Spirit Super said the deal was Tasmania’s largest property transaction by value.
Ross Barry, CIO of Spirit Super, said: “Parliament Square is underpinned by strong long-term leases, and will deliver enduring benefits to members right here in our own backyard and all across Australia.”
Spirit Super chair Naomi Edwards said: “This development will not just yield income and capital growth for our members’ retirement; it will become a much-loved destination that all members will be able to visit and enjoy.”
Overlooking Hobart’s Sullivan’s Cove and Franklin Wharf, the project features two office buildings. The anchor tenant is the Tasmanian State Government, which has leased the space until late 2037.
The newly opened five-star Tasman Hotel, managed by Marriott, is part of the Parliament Square development, which also has a retail component.