Investment News

Melbourne’s central business district office towers are drawing capital from around the world with interests associated with Hong Kong’s Foo Hang Jewellery close to buying a major Collins St tower for about $315 million.

Melbourne has narrowly outstripped Singapore and Sydney as the best prospect in the Asia Pacific region for both investment and development, according to new data.

The property transaction billed the sale of the year — the offer of a half-stake in Sydney’s $1.8 billion Chifley Tower and Plaza — has been called off, for now, by vendor Singapore sovereign wealth fund GIC Real Estate.

The Queensland capital is drawing international investors, with Singapore-based ARA Asset Management and US funds manager Heitman believed to be positioning to carve up the $200 million Quadra Pacific office portfolio.

Melbourne’s commercial property market is batting off the gloom about a decline in Asian investment with a run of hefty retail and office deals.

M&G Real Estate, a unit of British insurer Prudential PLC, is eyeing the purchase of a half stake in the prominent building in North Sydney known as Coca-Cola Place, which is being offloaded by South Korea’s ­National Pension Service in a deal valuing the entire tower at close to $450 million.

The rapid expansion of health and aged care, student accommodation and data centres saw alternative assets show the fastest growth for JLL in Australia with revenue increasing 70% for the nine months to September compared with 2017.

Property tycoon John Beville has made a return to form, striking a lucrative deal to sell an office block on Melbourne’s leafy St Kilda Rd for $163 million to Chinese mainland investor Da Xie.

The Quadrant Private Equity-backed owners of the Timezone entertainment empire plan to double their outlets as shopping centre landlords cast for new ways to draw consumers in the tough retailing environment.