Marprop and Futuro Capital are paying $80.8 million for Victoria University’s Flinders Street campus.
The asset – the basement, ground floor and top levels (9-19) of 300 Flinders Street – was offered earlier this year by Singapore listed Hotel Grand Central which picked it up from the college for $48.5m in 2013.
The balance of the property, a car park also offloaded by the school eight years ago, is held by a China based investor.
The building offers arguably Melbourne’s most effective signage – prominent from the Yarra River and Southgate.
The acquisition comes 14 months since Futuro partnered with Baring Property Equity Asia to buy RMIT’s 14 storey Building 108 at 235-251 Bourke St for c$130m and its ground level, the Tivoli Arcade, for c$80m.
Four weeks ago, Futuro and Marprop, with KKR (with which it is speculated is backing the VU purchase), paid Frasers Hospitality Trust $315m for the Sofitel Sydney Wentworth (story continues below).
Set for a reposition
Victoria University is set to vacate its 14,093 square metre tenancy at 300 Flinders St for a Little Lonsdale St campus ISPT will complete next October.
Marprop Futuro – the name given to the entity purchasing the outgoing asset – then intends to reposition it.
A revamped ground floor lobby and shopping arcade is mooted.
The office levels will be re-let; it is speculated the landlords are in discussions with a single group to take the lot.
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