Australian property group Mirvac has sold an office building in central Brisbane to Marquette Properties for A$104.4m (€67m).
Developed by Mirvac in 2005, the asset at 189 Grey Street is one of only seven office buildings in Southbank, described as Brisbane’s most tightly-held office market.
“By measure of office fundamentals, the asset is one of the best buildings in Brisbane,” said Marquette managing director Toby Lewis, adding that one-and-a-half floors of the building were vacant but expected to be leased in the short term.
CBRE’s Tom Phipps, who negotiated the sale off-market, said that with very little REITs, wholesale or offshore direct capital syndicators currently active, club investors and privates were taking advantage of market volatility to secure quality assets that larger institutions deemed too small or non-core.
Phipps said Mirvac had been divesting assets to fund recent acquisitions and its development pipeline.
Mirvac is on record as seeking to offload about A$1.3m in assets, including a half-stake at 60 Margaret Street, in Sydney, which it jointly owns with Blackstone, and at 367 Collins Street in Melbourne.
Mirvac is undertaking the redevelopment of one of its largest assets, Harbourside Shopping Centre and a new office tower, both in central Sydney, costing A$2bn and A$500m respectively.
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