A speculative fitout strategy has paid dividends at Perth’s 109 St Georges Terrace office tower, contributing to more than 6,000sqm of leasing activity over the past two years.
In the most recent leasing transaction, employment agency Verse Group will occupy a 375sqm speculative fitout on level nine of the building. The three-year lease was struck at a rental of $450 per square metre.
The deal continues strong leasing momentum at the building, with other recent tenants including the Institute of Fitness, Avid Resources, First State Super, WA Insolvency, Covelant Lithium, Calytrix, Imperium Engineering and Integrity Staffing.
CBRE’s James Phelan, who negotiated the most recent deal, said the appeal of a pre-built fitout helped seal the deal.
“The fitout offered flexibility for modification to suit the tenant’s requirements of several interview rooms front of house – while also providing the convenience of existing fitout space for its back of house operations,” Mr Phelan explained.
“Speculative fitouts continue to be a major drawcard for smaller tenants, enabling tenants to move quickly and easily – and also cost effectively.”
Mr Phelan said the refurbishment of lobby and end of trip facilities in mid-2019 had cemented 109 St Georges Terrace as one of Perth’s best B grade value propositions.
“Further to extensive improvements that have been made to the building, several tenancies within the building, including the space leased by Verse Group, offer panoramic river views,” Mr Phelan noted.
“There are not many smaller tenancies (under 500sqm) in the A/B grade office market that offer river views, which has been a driving factor behind the building’s recent leasing success.”
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2019 revenue). The company has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
