Charter Hall acquires $180m portfolio of government-leased assets

Charter Hall Group is pleased to announce that it has acquired a A$245 million ($180 million) portfolio of government-leased assets from private developer DOMA in an off-market transaction brokered by Colliers International.

The portfolio includes two well-located high-quality office assets in Newcastle and Canberra, with an average initial yield of 5.2 percent, secured by a nine-year weighted-average lease expiration (WALE).

Two Charter Hall Direct funds, the Charter Hall Direct Long WALE Fund (LWF) and Charter Hall Direct PFA Fund (PFA), have acquired the A$146 million ($107 million) Newcastle asset for A$73 million ($54 million) each. The asset is a class A office asset, anchored by the NSW government, introducing high-quality, government covenants to the LWF portfolio, while extending the PFA government exposure to over 60 percent. The recently completed building is targeting a 5-star NABERS Energy rating, a 4-star NABERS Water rating and a five-star Green Star Des