Sydney fund manager Marshall Investments has paid a syndicate led by Cypress based investors $126 million for a prominent Moonee Ponds tower built in 1991 for the Australian Taxation Office, which still part-occupies.
The deal for 6-22 Gladstone Street followed a public sales campaign launched last June.
The vendor, trading as Cyberra Investments, outlaid $83m in 2014.
That seller, Charter Hall, held it nearly two decades.
Elsewhere in Moonee Ponds, six kilometres north west of Melbourne’s CBD, Charter Hall owns an office and car park at 1 Dean St, until a few years ago occupied by Foxtel, but now backed by two federal government departments and a psychology clinic.
Near there, Hamton, Hostplus and the Moonee Valley Racing Club are replacing edges of the Moonee Valley Racecourse with townhouses and apartments – part of a mixed use project, Moonee Valley Park, expected to carry a c$2 billion end value.
ATO backfill renovated, reoffered – again
At seven levels, with 20,021 square metres of lettable area and 88 basement car parks, 6-22 Gladstone St was one of Moonee Ponds’ first major buildings.
Up until 2020, the ATO occupied the lot (story continues below).
The federal government arm now rents nearly two thirds (13,4578 sqm) on a lease expiring in 2032.
Honda Australia is the other key occupier, last year signing up for 2674 sqm of ex-ATO space after selling its long-time ex-Tullamarine headquarters to Hines.
Another 3600 sqm of 6-22 Gladstone St, covering the top two floors, each with a balcony, was recently listed for lease following an uber-contemporary fit out by Marshall Investments.
Cyberra undertook a revamp of that space and the building too; said to have cost $50m, this included base build and fit-out works and end of trip facilities.
As well as its investment attributes – the weighted average lease expiry on the occupied area is eight years and the ATO may be convinced to stay beyond 2032 – the agents spruiked the long-term development upside, occupying a 5475 sqm Commercial 1 zoned block at the edge of the suburb’s activity centre with CBD view lines.
Branded MPHQ@6 Gladstone Street, and with a 5-star NABERs rating, the space is available as a whole or in parts.
Subscribe to our newsletter at the bottom of this page.