A joint venture (50/50) between Investa Commercial Property Fund (ICPF) and Canadian financial services group Manulife has agreed to acquire 39 Martin Place, a commercial building in Sydney, from Macquarie Group.
39 Martin Place is being constructed by LendLease and is due for completion in 2024. To be located in Martin Place, between Elizabeth and Castlereagh Street, the commercial building will be situated in Sydney’s central business district.
It will sit directly above the southern entrance of the new Martin Place metro station that is currently under construction and will incorporate 30,000 square metres of office space across 28 levels and 2,000 square metres of retail.
“The acquisition of 39 Martin Place is in line with the Fund’s strategy given the superior building quality, super prime location, leading sustainability and technology features. We also have the opportunity to add value through leasing. This combination of factors is expected to deliver an attractive risk adjusted return to our investors, and further reinforces ICPF’s reputation as Australia’s leading prime office fund,” said Brendan Looby, ICPF Fund Manager.
“We have high confidence in the Sydney CBD office market and believe 39 Martin Place is well placed to attract a suite of high quality users. We are pleased with the interest already shown by a number of prospective tenants attracted to the quality and premium location of 39 Martin Place, which will be loaded with amenity,” said Mr. Looby.
Kenny Lam, Senior Managing Director, Head of Asia Real Estate Investments for Manulife said: “We are very excited to partner with ICPF and team up with the best-in-class team from Investa on this landmark investment. 39 Martin Place will be a top grade office building in Sydney, equipped with one of the highest levels of technology and situated in a prime CBD locale giving unparalled access to a wide variety of public transport and facilities.”
In 2018, Macquarie entered into an agreement with the NSW Government to deliver a new metro station at Martin Place as part of a new commercial, retail and public precinct. In addition to the metro station, the precinct will include an underground public walkway underneath Macquarie’s 50 Martin Place headquarters, two commercial buildings, retail and substantial public space.