GPT buys $380m office for US-backed partnership
GPT has snapped up a Brisbane CBD office for the same $380 million the vendor paid seven years ago, through its value-add partnership backed by US investment house TPG Angelo Gordon.
The 23-level Central Plaza II at 66 Eagle Street takes total deployment just over $500m since launching in February.
The seller was German asset manager Deka Immobilien.
The deal comes five months since it was reported Marquette had agreed to buy it for $400m as a student accommodation play, and launching a capital raising.
66 Eagle Street
With 31,844 square metres, 66 Eagle St is 4.5 per cent vacant with a 3.8-year weighted average lease expiry.
QIC, McCullough Robertson and Mills Oakley are among the occupiers.
GPT will assume leasing and management (continues below).
In a statement the ASX-listed group said the purchase price reflects a significant discount to replacement cost.
It added there was scope for rental reversion upside, some tenants paying below-market rent.
The asset manager also owns 111 Eagle St and the Riverside Centre (123 Eagle St) – all in Brisbane’s ‘Golden Triangle’.
The TPG Angelo Gordon partnership has invested in student accommodation and industrial.
Settlement of 66 Eagle St is scheduled for November assuming Foreign Investment Review Board approval.
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