Bupa Takes Collins Street Retail Space

National healthcare organisation Bupa Australia has agreed to terms on a new Collins Street retail lease in Melbourne’s CBD in an off-market deal.

Located at 247 Collins Street, the tenancy comprises 275 sqm of prime retail space. Bupa is believed to have agreed on a rental equating to more than $800,000 per annum on an eight year term.

The deal was negotiated by Savills’ Victorian Retail Director Michael Di Carlo, together with colleagues Jeremy Marmur and Jock Thomson and Vantage Director Matt Spring on behalf of the new off-shore owner of the property.

"It goes without saying that Collins Street space is very highly regarded and does not last long on the open market, indeed the lease was brokered off-market to a blue chip tenant, prior to the new landlord having completed settlement,’’ Mr Di Carlo said.

Known as Newspaper House, the seven level, 2084 square metre, retail and office building was purchased in June for circa $23 million.

Mr Di Carlo and Mr Spring said Savills and Vantage had advised the new owner of potential occupiers prior to purchase and worked on a strategy for Bupa’s relocation.

"The strong leasing result so soon after settlement showed the benefit of off-shore owners working with local agents," Mr Spring said.

"Our ability to be able to work closely with Savills directly in this process has ensured the best outcome for our client."Mr Di Carlo said Bupa would relocate from its current home in The Block Arcade at 292 Collins Street.