ASX-listed Australian Unity Office Fund (AOF) has sold an office in Macquarie Park, Sydney for $68.825 million, following its recent sale of an Adelaide asset last month.
The 2 Eden Park Drive comprised 16 office and warehouse units in the Macquarie Park business park, located about 13 kilometres north-west of the Sydney CBD.
Australian Unity exchanged conditional contracts on the sale, which reflected a 10% premium to its 30 June 2022 independent valuation of $62.5 million.
AOF Fund Manager Nikki Panagopoulos said the Macquarie Park sale followed a number of unsolicited offers and an off-market process.
“The sale, at a material premium to the asset’s independent valuation, represents a compelling opportunity for AOF to realise capital while also reinforcing the quality and value of AOF’s portfolio. The sale is consistent with AOF’s previously announced value maximisation strategy,” Panagopoulos said.
The deal comes after AOF sold its 30 Pirie Street office property in Adelaide for $73 million last month.
“The sale of 2 Eden Park Drive, Macquarie Park and the previously announced conditional sale of 30 Pirie Street, Adelaide would position AOF’s balance sheet by reducing debt and providing a strong platform to continue to advance AOF’s near term priorities,” Panagopoulos said.
“AOF will continue to focus on leasing activity, and refurbishment opportunities, including at 10 Valentine Avenue, Parramatta where make-good works have commenced.
“AOF will continue to assess its portfolio and remains open to consider further asset sales that maximise value for unitholders.”
Settlement was expected in February 2023 with net proceeds initially used to repay debt.
The deal comes after HB+B Property and AMP Capital sold an office in Sydney’s Tech Central precinct for $59.5 million last month, achieving a tight yield of 3.1%.
Last month, Australian asset manager Real Asset Management secured an A-grade office tower in the Brisbane CBD for $141.1 million.
In October, Real estate investment manager Marquette Properties bought the 189 Grey Street office tower in Brisbane’s Southbank for $104.4 million.