PSP, Charter Hall acquire Melbourne HQ for A$830m

Charter Hall Group has formed a partnership to acquire 100 percent of the freehold interest in the Global headquarters of Telstra at 242 Exhibition Street at the “Paris end” of Melbourne’s CBD, for a total consideration of A$830 million ($585 million).

The property will be owned by a wholesale partnership comprising the A$5.4 billion ($3.8 billion) Charter Hall Prime Office Fund (CPOF), the Public Sector Pension Investment Board (PSP Investments) and Charter Hall Group.

The property comprises a premium 47-story office tower, which provides for 65,913 square meters (709,482 square feet) of net leasable area, incorporating 63,398 square meters (682,410 square feet) of office accommodation over 43 floors and associated retail and car parking.

The property is currently undergoing an extensive base building upgrade works program, which includes full vertical transportation and mechanical upgrades and enhanced end-of-trip facilities.

The building is lease