Property developer Mirvac has sold its landmark Como Centre – a two-hectare hotel and office complex in Melbourne's South Yarra – in a blockbuster deal for $236.5 million.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
The Boutique funds manager Newmark Capital, led by former Hawthorn AFL star Chris Langford and property executive Simon Morris, is believed to be the purchaser.
The diversified property group exchanged contracts for Como Centre on Monday at the same time as inking a deal to sell another A-grade, 9-level office – Aviation House in Canberra – for $68.1 million.
Earlier this year Mirvac chief executive Susan Lloyd-Hurwitz expressed firm views that the property sector was nearing the end of its cap rate compression cycle, flagging plans by the group to divest up to $600 million worth of assets this year.
"This is an outstanding outcome for the group, and we are extremely pleased to have achieved these key milestones in our asset sales strategy for FY16, following the sale of 1 Woolworths Way in New South Wales earlier this year," Ms Lloyd-Hurwitz said.
The first round came with sale of the Woolworths headquarters in Sydney's north-west for $336 million.
South Korean-based property investment firm Inmark Asset Management snapped up that asset on a yield of 6.07 per cent.
The Como Centre generates more than $14 million of net income from 25,000 square metres of office space, 6650 square metres of retail space, a 111-room hotel run by Accor, and a 614-bay commercial car park.
Television broadcaster Network 10 is a key tenant.
Settlement of both the Como Centre and 16 Furzer Street in Canberra was expected by June this year.
The sale was handled by Colliers International's Nick Rathgeber and Leigh Melbourne and McVay Real Estate's Sam McVay and Dan McVay.
The Como Centre was sold with development plans in place to expand its retail space with upgrades to the offices and buildings already underway.
