Charter Hall acquires office in Canberra for A$290m

Charter Hall Group has paid A$290 million ($198 million) for 21 Genge Street, a class A office tower in the heart of the Canberra CBD.

Leased to a long-term tenant customer, the Commonwealth Government, the asset is occupied by the Australian Tax Office (ATO) and the Department of Veteran Affairs.

The 42,000-square-meter (452,084-square-foot) twin tower development with a five-year WALE, reflects a 7.5 percent initial yield.

The Charter Hall-managed partnership is owned by the A$10 billion ($6.82 billion) flagship wholesale office fund CPOF, together with Charter Hall Group. The investment strategy is to extend the WALE of the asset and take advantage of the modern buildings’ large floorplates and ideal location directly opposite the 260-retailer Canberra Centre shopping center.

“We welcome two of our major existing customers to the A$30 billion ($20 billion) office portfolio and look forward to adding value to the building for their benefit,” said