GE to Sell 333 Exhibition Street, Again
GE Real Estate Group is trying its luck to sell a B-grade office building overlooking the Carlton Gardens – again.
GE failed to sell 333 Exhibition Street last year for $20 million, because an imminent vacancy by sole tenant Telstra, turned many investors off. Rather than sell the building at a huge loss to book value, GE withdrew it from the market, and negotiated a new five year lease with Telstra, which has almost four years to run.
This time around, the building is expected to sell for between $18 and $19 million, reflecting a yield of between 9 and 9.5 per cent based on the annual rental income of $1.7 million. CBRE’s Mark Wizel is marketing the building with Sebastian Drapac.
In Melbourne last year, GE sold its 553 St Kilda Road office building for $39 million. However attempts to sell the 90 Collins Street office building in the CBD for $140 million were unsuccessful.
