Flood of interest for Olderfleet building
The listed Mirvac and Singaporean co-owner Suntec REIT have flagged their belief in the strength of the top end of Melbourne’s office market as they topped out the main structural works at Olderfleet, their premium building in Collins St.
The precinct is about to see a wave of new towers, with projects underway by Cbus Property, Charter Hall and Dexus.
Mirvac also is planning another 40,000sqm office project at 383 La Trobe St.
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The Olderfleet property is a Grimshaw-designed, 38-level building that spans 58,000sqm of premium-grade office and retail space.
Mirvac general manager, development, Simon Healy says the Olderfleet had strong interest from tenants with a range of high- calibre brands going into the tower, which is now 94% pre-leased.
Remaining space includes the Skyrise floor on level 34, made up of 1700sqm of office space. An incoming tenant would join brands including Norton Rose Fulbright, Lander & Rogers, Urbis and anchor tenant Deloitte.
Healy says Mirvac has a pipeline of projects in Melbourne, including the 383 La Trobe St project where it hopes to lodge plans next year. “This future, next-generation office tower provides yet another opportunity for Mirvac to set new benchmarks in workplace design,” he said.
Mirvac sold a half-stake in the 477 Collins St office development to Suntec REIT in mid-2017 for $414 million.
Healy says there are still a healthy number of tenants seeking major pre-commitments, with demand coming across legal, professional services, technology and government sectors.
This means the group does not have concerns about the amount of fresh supply hitting the market over the next 2-3 years.
Mirvac is also relying on its ability to implement the latest technologies, as well as including wellness aspects in its buildings, and amenities including childcare and health centres.
This article originally appeared on www.theaustralian.com.au/property.
