Charter Hall extends office market acquisitions with $23.9 million North Sydney CBD purchase

06/11/2007 - PDF Version Available

Charter Hall, one of Australia's leading property fund managers and property developers, announces that its Diversified Property Fund (DPF) has acquired APP House, 53 Berry Street in North Sydney for $23.9 million, which grows the portfolio to 12 assets with a total portfolio value of approximately $162.5 million.

The acquisition, a first for DPF in the North Sydney CBD, provides excellent exposure to the improving North Sydney CBD office market which has a solid outlook for growth and may benefit from a more progressive planning approach from North Sydney Council.

The modern seven level office building is situated on the high profile south-western corner of Berry and Miller Streets and has prominent retail exposure and accessibility. The building comprises a ground level entrance foyer and large retail shop with internal mezzanine area, six upper levels of office space and two basement car parking levels that provides parking for 30 cars.

The property was purchased on an initial fully let yield of 6.29% and is 100% leased to quality tenants including APP Corporation, (a subsidiary of Transfield Services Ltd), Fedex Kinkos and National Credit Insurance (a subsidiary of QBE Insurance).

David Harrison, Charter Hall's Joint Managing Director said: "The acquisition provides additional tenant and sector diversity for DPF, increasing exposure to the fast improving Sydney office market whilst maintaining a high proportion of the portfolios income generated from national and international tenants."

Cedric Fuchs, Charter Hall's Executive Director added: "In addition to offering solid investment returns, the property has the added advantage of being a strategic corner site within a core North Sydney CBD location".


This information has been prepared by Charter Hall Funds Management Limited ABN 31 082 991 786; AFSL 262861 ("CHFML") for information purposes only. This website is not an offer to sell or a solicitation or an offer to subscribe or purchase or a recommendation of any securities referred to herein and the information has not taken into account any potential investors' personal objectives, financial situation or needs. Before investing, you should consider your own objectives, financial situation and needs or you should obtain financial, legal and/or taxation advice.

CHFML does not receive fees in respect of the general financial product advice it may provide, however they will receive fees for operating the schemes of which it is the responsible entity ("Schemes") which, in accordance with the Schemes' Constitutions, are calculated by reference to the value of the assets of the Schemes. Entities within the Charter Hall Group may also receive fees for managing the assets of, and providing resources to the Schemes. For more detail on fees, see our latest annual report. To contact us, call 1300 365 585 (local call cost).