Charter Hall Direct has announced the acquisition of two 100% leased commercial properties in Hobart by two of its Direct Funds currently open for investment.
In Hobart’s CBD the Charter Hall Direct PFA Fund, which specialises in investing in government tenanted properties, has acquired a cluster of buildings on two adjoining sites for $50.5 million.
The fund acquired an office complex at 22 Elizabeth Street and 103 Macquarie Street, comprising a 14-storey A-Grade office building and an adjoining two-storey heritage office building, constructed circa 1866.
The property is primarily occupied by Tasmanian State Government’s Department of Health and Human Services, accounting for 81% of gross income. Deloitte Services accounts for 8% of gross income from the site with the balance leased to office and retail occupants.
The property occupies a prime Hobart CBD location and has a 12-year weighted average lease expiry (WALE), consistent with the fund’s long WALE approach .
At Derwent Park, midway between the Hobart CBD and the MONA arts complex, the Charter Hall Direct Diversified Consumer Staples Fund has acquired 10 Derwent Park Road, a recently refurbished retail warehouse situated on a large, high profile site with extensive frontage to Derwent Park Road in Hobart’s premier showroom precinct for $15.5 million.
The property has a total gross lettable area of approximately 6,453 square meters on a site area of 1.76 hectares.
The property is fully leased, and approximately 80% of this is to national retail tenants: Baby Bunting, Supercheap Auto and RSEA. The WALE is 8.8 years.
The site includes 112 customer car parks at the front of the asset with extensive hard stand and car parking area at the rear servicing the JMC tenancy.