Spirit Super has exchanged contracts to buy the Parliament Square mixed-use development project in Hobart from the Trawalla Group for about $330 million, marking the state’s biggest commercial property deal.
The project features a circa 17,300 sqm office component, which will be connected to Parliament House and leased to the Tasmanian government until late 2037.
The sale also includes the 152-room Tasman Hotel, which opened this month and will be managed by the Marriott Group.
The deal is the first for Tasmanian-based Spirit Super since its creation this year through the merger of MTAA Super and Tasplan.
Spirit Super Chief Investment Officer Ross Barry said they were proud owners of Hobart’s newest and most exciting property development.
“Parliament Square is underpinned by strong long-term leases and will deliver enduring benefits to members right here in our own backyard and all across Australia,” Barry said.
“It’s great to be investing member funds back into their own community and to see the creation of over 100 jobs.”
CBRE’s Mark Granter, Kiran Pillai and Michael Simpson negotiated the sale of the landmark Salamanca Place project on behalf of the Trawalla Group.
“The quality of this asset, the government tenancy covenant – which provides a WALE of 16 years – and the inclusion of one of Australia’s best new five-star hotels attracted widespread interest from some of the largest local and international players in the market,” Granter said.
“Despite lockdown restrictions, we were able to work across geographies and asset classes to finalise the largest real estate transaction in Tasmania’s history.”
Arnold Bloch Leibler acted on behalf of Trawalla Group, while JGS Property and Gilbert & Tobin represented Spirit Super.
Recent development sales include National Pacific Properties’ sale of a town centre development site in Melbourne’s outer suburbs for $67.65 million and Mirvac’s purchase of an 80ha parcel of zoned land in Cobbitty, NSW.
Developer Peet recently purchased about 15 hectares of land in Belconnen in the ACT from the University of Canberra for circa $67 million, while Singapore-listed Keppel REIT bought a grade-A office development in North Sydney for $327.7 million.