Australasian real estate funds manager Centuria Capital has sold an office asset in Sydney for A$116.5 (€65m) to Marprop Real Estate Investors and Gresham Property Funds Management.
Marprop Real Estate Investors and Gresham Partners, a Sydney-based independent advisory and funds management firm, have acquired the office building on behalf of their respective managed funds.
Centuria acquired the building at 13 Garden Street, South Eveleigh along with two other assets, BioMed Building at 1 Central Avenue and the Belltower at 6 Cornwallis Avenue, as part of the Centuria ATP Fund in 2016.
The Garden Street building is the last remaining asset of the Centuria ATP Fund.
Jesse Curtis, Centuria head of funds management, said the divestment signalled a turning point in the metropolitan office market, and a resurgence in investor appetite for modern, sustainable properties. This, coupled with growing evidence of momentum in office-centric workforces led by government departments and large corporations, pointed to positive medium-term tailwinds.
“Furthermore, key economic drivers including population growth spurring white-collar employment and anticipated future office supply contracting as economic rents are expected to outstrip prevailing market rents, provide compelling fundamentals for office investment.”
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