The EPA is believed to be paying about $350 per square metre, after incentives, to occupy the A-grade space. Its lease is for 5,000 square metres over 10 years. The building was formerly the Carlton & United Brewery laboratories. The building is expected to be the seed asset in the Drapac Sustainable Fund, the first listred property fund of its type in the country. The fund aims to grow between $200 and $300 million.
On Wednesday this week, Drapac sold two development sites at the top end of the city to private developers, who are expected to build apartment towers.
A 1,194 square metre development site in A’Beckett sold at auction for $5.3 million, while a 1,498 square metre Franklin Street sold fetched $6.5 million after auction. The sites were part of the former City Mazda site, which Drapac once planned to build a $350 million campus style office park.
The EPA’s Carlton building is expected to be open for business in April.