HThree City Australia, CDL pays $160m for office tower in Melbourne

HThree City Australia and co-investor City Developments Limited (CDL) have acquired 330 Collins Street, a freehold commercial office tower in Melbourne, for A$236 million ($160 million) from an AMP Capital separate account.

The purchase represents HThree’s second acquisition in Australia and is in line with its strategy of investing in well-located properties with strong value-add potential.

330 Collins Street is an 18-story, class A commercial tower located in the heart of Melbourne’s CBD, at the intersection of Collins Street and Elizabeth Street. It has more than 18,000 square meters (194,000 square feet) spread over 17 floors of tenanted office space, retail space on the ground floor and basement, as well as 43 basement car bays. The property boasts a 4.5-Star NABERS energy rating and five-star NABERS water certification. The asset has a committed occupancy of about 90 percent with a diversified tenant portfolio.

With its prime location at one of the mai