Macquarie Uni sews up $39m office block

Macquarie University leases half of an office building it bought for $39 million.

Macquarie University has purchased an office building in Sydney’s north for $39 million. 

The university acquired 3 Innovation Rd in Macquarie Park from listed wealth company IOOF’s investment arm, beating several foreign buyers for the four-storey office campus.

Macquarie University already leased half the building, which sits in the Macquarie University Research Park, before it moved to acquire it. The building has been fully leased since IOOF bought the property in 2001.

IOOF senior portfolio manager Simon Gross says the firm has moved to take advantage of late cyclical demand for metropolitan commercial office properties in Sydney.

The property was marketed globally and received competitive bids from multiple investors, reflected by the excellent final result

“The transaction is a perfect example of the active nature of the IOOF direct property portfolio, which has established an enviable track record of well-timed sales and acquisitions,” he says.

Gross says IOOF Investments had aimed the property at both Asian and local buyers who were looking for office and educational assets.

“The property was marketed globally and received competitive bids from multiple investors, reflected by the excellent final result,” he says.

IOOF posted a statutory profit of $196.8 million in the last financial year. Chief executive Chris Kelaher says the firm is considering making a bid for ANZ’s wealth management business.

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