AUI sells commercial office building

New appointment in Equity Trustees’ philanthropy business
February 22, 2012
Big Sky Credit Union members vote in favour of joining Australian Unity
February 23, 2012

Australian Unity Investments (AUI) has sold an office building at 477 Collins Street, Melbourne, owned by its Office Property Trust, to Aviva Investors Asia Pacific Property Fund – a fund managed by Singapore-based fund manager Aviva Investors Asia Pte Limited –for $67 million.

Australian Unity Investments (AUI) has sold an office building at 477 Collins Street, Melbourne, owned by its Office Property Trust, to Aviva Investors Asia Pacific Property Fund – a fund managed by Singapore-based fund manager Aviva Investors Asia Pte Limited –for $67 million.

The property, known as the “Olderfleet Building”, comprises three historic buildings and a modern, eight-level office tower with a net lettable area of approximately 11,986 square metres, and a commercial car park.

The marketing campaign for the sale was run by CB Richard Ellis.

Mr Mark Pratt, general manager – property, mortgages & capital markets, said selling the property to Aviva Investors enables AUI to provide investors with enhanced liquidity and higher than expected capital returns.

“Our active management approach for each of our property trusts involves regular assessment of appropriate opportunities to manage assets within each fund, always with the aim of optimising outcomes for investors.

“Strong demand, tight supply and a lack of development in Melbourne over the past three years presented us with a window of opportunity to maximise the value of the Olderfleet Building on behalf of investors.

“While we considered a range of alternative options including refurbishing the property, we determined the best outcome for investors was to sell the property into an improving market, achieving a sale price above current book value,” Mr Pratt said.

Australian Unity Property Limited, the property funds management business of AUI, became the Responsible Entity of the Acumen Office Trust – which owned the Olderfleet Building – in 2007.

Australian Unity Investments is the funds management arm of financial services, health and retirement living services provider Australian Unity.  It has over $11.5 billion in funds under management (as at 31 January 2012).  Its investment approach is to use its established in-house expertise in property and mortgages while also forming joint ventures and strategic alliances with other organisations with specialist expertise.

 -oOo-

For further information please contact:

Mark Pratt – Phone: 03 8682 4448

22 February 2012