Grenfell Centre on market as Adelaide offices take prime billing

Credit Suisse is selling the Grenfell Centre in Adelaide.

Credit Suisse’s investment arm is cashing in on the boom in offshore interest in Adelaide’s office market by putting the Grenfell Centre on the block for about $170 million.

The group is selling the tower at 25 Grenfell St via JLL and Knight Frank as more international players swoop on properties in the city.

In one of the largest moves, Singaporean company ARA Asset Management is targeting the purchase of Adelaide’s Allianz Centre for about $150 million.

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Other offshore entrants include Blackstone, AEP Investment Management and Mapletree Investment.

Local institutional funds have also been chasing Adelaide assets, with Centuria, Corval, and CBUS Property buying towers or development sites.

Guerra says that with the Sydney and Melbourne markets at their peak, Adelaide is well placed to capitalise on the weight of funds chasing quality investment product

Now Credit Suisse Asset Management, which bought the tower for $125 million in 2016 and has revamped key areas, is looking to tap into the renewed interest in the city.

JLL’s Jamie Guerra, Roger Klem, Rob Sewell and Stuart McCann and Knight Frank’s Guy Bennett, Paul Roberts and Neil Brookes will market the tower.

The building is in the heart of the Adelaide CBD and near Rundle Mall, Adelaide Central Market and Adelaide Oval.

Last year, more than $807 million worth of commercial property deals were struck in the CBD and Guerra says that with the Sydney and Melbourne markets at their peak, Adelaide is well placed to capitalise on the weight of funds chasing quality investment product.

Bennett says occupier demand in Adelaide has maintained the “positive trajectory” that started in 2017 and strengthened last year, driven by improved business confidence in the private sector.

This article originally appeared on www.theaustralian.com.au/property.