- The three offices were acquired for around $450M
- Fall under the now $700M EG Australian Core Enhanced Fund
- Fund Manager is confident in the Sydney CBD market over the long term
Australian real estate fund manager EG has announced the acquisition of three office assets in a deal worth approximately $450 million.
The three assets have a total lettable area of 32,454 square metres and currently enjoys 93% total occupancy and a weighted average lease expiry (WALE) of 2.9 years
This latest acquisition means EG’s Australian Core Enhanced Fund (EG ACE) now has eight assets under its belt with a total value of around $700 million. The ACE Fund focuses on open-ended, diversified fund targeting office, industrial and retail real estate.
The sites are located close to major transport links to both the Sydney CBD and North Sydney, with both areas currently benefitting from major public and private investments in infrastructure.
“The portfolio fits well with the investment strategy to acquire well located assets where value can be added over time. We have high conviction in the precincts and the Sydney CBD office market over the long term,” said EG’s ACE Fund Manager, Michael Noblet.
“EG’s Australian Core Enhanced Fund, currently has approximately $500m of capital for further acquisitions, following a recent equity commitment into the fund from a leading European investor.”
Michael Noblet, ACE Fund Manager
Since EG was founded, $4.3 billion worth of property has been funded on behalf of both super funds and private wealth clients. Currently, the fund has $3.9 billion in the development pipeline.