Reece’s lease starts from November 1 and is for 10 years with a starting rent of about $1.5 million a year, or $250 per square metre. The building includes 173 car spaces.

Reece Plumbing will relocate staff from several suburban office buildings to Tally Ho, after refitting its new office. Tally Ho is one of Melbourne’s first major suburban business parks measuring some 26 hectares, with offices built around manufactured lakes and gardens.

Gross Waddell associate director Raoul Salter said the building’s exposure, at one of the busiest intersections in Melbourne, contributed to Reece’s decision to lease an existing, rather than new building in the “Monash” areas (Mulgrave and Clayton).

Mr Salter said the Reece deal “underlines the strength of the suburban leasing market when it comes to quality property in key locations.”

Colliers International was conjunctional agent for the deal.