Dexus takes another hit on office

Also this week, we are reporting Dexus sold 124 Walker Street, North Sydney.

Dexus, on behalf of the Wholesale Australian Property Fund, has sold another office – this time in Canberra.

The recently renovated 14 storey building, 12 Moore Street, has collected $50 million from another manager.

The result is against a September valuation of $55m which assumed a 7.25 per cent capitalisation rate.

Three months earlier, the 12,000 square metre property was appraised at $61.5m.

The weighted average lease expiry is 3.4 years from 20 occupiers, predominantly federal government arms.

Nearly seven per cent is vacant (story continues below).

The Moore Street property is selling for $50 million.

Dexus rolls with the punches

Also this week, Singapore’s Ho Group paid c$95.5m for 124 Walker St, North Sydney – another Dexus Wholesale Australian Property Fund offering. That result was against a c$120m valuation and guide when it was listed eight months ago.

The Canberra office’s recently refurbished foyer.

Last April, Dexus sold, in Sydney’s CBD, 1 Margaret St, to Quintessential, for $293.1m – a discount on the $350m appraisal five months before – and 44 Market St, to Pacific Alliance, for $393.1m, also a c15pc drop on the last (c$475m) valuation.

Dexus completed the first stage of the sale and transfer of AMP Capital’s real estate and domestic infrastructure business last March.

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Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of