Canberra office sold off-market
A modern Canberra office carrying a 68 per cent vacancy rate has sold off-market.
The six storey, 5467 square metre asset, 4 Mort Street, is collecting $18 million from an an established local investment house.
The seller, an entity associated with ex-Trafalgar director, Robert Whyte, paid $14.75m in 2013, shortly after a refurbishment, including to the end of trip facilities, and upgrade of the plant and air conditioning.
That result reflected a 13 per cent net passing yield; it was fully let to the federal government.
Today 3744 sqm is vacant.
Revamp planned
The Mort St office carries a 4.5-star NABERs rating.
The ground floor is also configured with retail.
“The purchasers intend to undertake a strategic refurbishment, optimising on the increasing tenant demand for modern, flexible office space in the CBD,” JLL’s Mitchell Frail who brokered the off-market deal with Tim Mutton, said.
“Deals like this demonstrates the continued vibrancy and potential within the Canberra commercial property market,” he added.
The deal comes eight months since we reported Charter Hall sold the Doris Blackburn building at Forest for $72m – a drop on the $98m paid to Doma in mid-2021.
Also last year meanwhile, ISPT divested 2 Constitution Avenue, Canberra.
Growthpoint was the buyer, for $90.1m.
Like 4 Mort St, already modernised, it too is set for another refurbishment.
More to come.
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