Second attempt for patient buyer seals strong office deal

Perth-based fund manager Ascot Capital Limited has acquired a long WALE Victorian State Government leased office for just over $25,000,000.

CBRE’s Capital Markets Office team negotiated the off-market sale of the 107 Overton Road, Williams Landing building on behalf of Canberra-based vendor the Hellenic Club.

CBRE Senior Director Scott Orchard noted that in the current market, the sub 6.4% sale yield represented a strong outcome for the near-new property, which is occupied by Victoria’s Emergency Services Telecommunications Authority.

“With 10½ years remaining on the original 15-year initial lease term, the strong covenant, property fundamentals, and age of the building continued to be of high appeal to Ascot, a group which expressed strong interest in our previous 2018 sale campaign for the asset on behalf of Cedar Woods,” Mr Orchard said.

Cedar Woods developed the 3,126sqm office property as part of its Williams Landing Town Centre master plan development alongside a headquarters building for Target and the Williams Landing Shopping Centre, following the delivery of several residential subdivision stages.

Hellenic Club spokesperson Ian Cameron said, “The property was a strong, reliable asset for the club during our short period of ownership. However, a change of strategy and an equity requirement for an exciting development in Canberra precipitated the sale.”

Ascot Capital Director Peter Agostino added, “We’re delighted with the acquisition of this high-quality property, which strongly aligns with Ascot’s portfolio and investment strategy.”