Australian real estate investment trust Dexus and Canada Pension Plan Investment Board (CPP Investments) have sold a jointly-owned office building in Brisbane to Queensland investment company Marquette for A$285m (€185m).

CPP Investments and Dexus put the 34-storey 10 Eagle Street building to market last November.  The asset was valued at A$280m as of 31 December 2020.

They inherited the asset when they took over the Commonwealth Property Office Fund in 2014, which was subsequently renamed Dexus Office Partnership. 

Dexus said proceeds from the sale would be used to repay debt.

Dexus chief investment officer, Ross Du Vernet, said: “This transaction continues our asset recycling strategy, realising value for both Dexus and our Dexus office partner while reducing our exposure to the Brisbane market.”

Du Vernet said the disposal also provided Dexus with “an excellent opportunity” to focus its leasing, asset management and development capabilities on advancing its city-shaping development project at Waterfront Brisbane.

Marquette managing director, Toby Lewis said: “We are acquiring a great asset with an excellent tenancy profile due to Dexus’s best-in-class management.”

Despite ongoing long-term uncertainty associated with the COVID-19 pandemic, said Lewis, Marquette had enabled more than 150 Australian families to invest in 10 Eagle Street.

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