The property industry globally, and office building owners in particular, are struggling as working from home and e-commerce lead tenants to reconsider floor space just as higher interest rates reduce building values and raise debt servicing costs.
Dexus sold the 18-story A-Grade office for A$293.1 million ($188 million), a 16.3% discount to its December 2022 valuation, according to company filings.
Quintessential Equity, an Australian property developer and investor, announced itself as the buyer on its website without elaborating.
Dexus will own a A$50 million stake in the trust that will hold the property, it said in a statement.
In June, Dexus sold another premium office building in Sydney's central business district for A$393.1 million, a near 17% discount to an independent valuation made in December.
Persons:
Loren Elliott, Dexus, Darren Steinberg, Lewis Jackson, Rishav Chatterjee, Subhranshu Sahu, Rashmi Aich, Sam Holmes
Organizations:
REUTERS, Rights, Reuters, Equity, Thomson
Locations:
Sydney, New South Wales, Australia, Australian, Bengaluru