Charter Hall Lodges Plans for $1.5bn Collins Street Development

Charter Hall has lodged plans for its mammoth development, a $1.5 billion twin tower premium office project in Melbourne’s CBD.

The first phase of the proposed redevelopment will see 35 levels of technology-enabled office space across 45,000 square metres at 555 Collins Street, with firms Cox Architecture and Gensler at the design helm.

Charter Hall says its two towers, which will deliver a total 80,000sq m, will lead the way in workplace technologies, particularly given the appointment of global firm Gensler's portfolio of work, which includes designing Facebook's offices in Japan, Mexico, Sao Paulo as well as its Californian headquarters.

The Melbourne development is being driven by Charter Hall's $5.4 billion wholesale Prime Office Fund (CPOF).

The CBD site, which sits in Melbourne’s financial district, offers almost 50 metres of northern frontage to Collins Street and 100 metres of frontage to King Street including the adjoining CPOF owned 55 King Street it purchased in 2016.

Last month listed property giant Dexus snapped up 80 Collins Street in a deal worth around $1.3 billion, while Charter Hall bought 555 Collins Street for $140 million in October last year from Fragrance Group.

Related: Triguboff Makes Meriton’s First Move Into Melbourne Market

Charter Hall regional development director Simon Stockfeld said the design for the building takes a people-first approach.

“We are committed to creating workplace experiences which are designed to foster community, an instinctive way of working and ultimately result in a better workday for our tenant customers,” Stockfeld said.

“The vision for the site is to create a workplace experience like no other, where people will feel connected, inspired and engaged with their working day, and we are excited by this innovative methodology and how this development will shape the future of workplace.”

The architect’s proposed design includes an activated ground plane, a premium retail hub with food outlets and a health and wellbeing centre.

JLL and Colliers have been appointed as leasing agents for the project.

Charter Hall Prime Office Fund manager Matthew Brown says the redeveloped site will further enhance its $5.4 billion CPOF’s portfolio of high-quality assets.

“And deliver our Fund investors a coveted new Premium Grade office building in the tightly held western core of Melbourne’s CBD, a location favoured by major corporate, legal and government occupiers,” Brown said.

The building, which plans to become one of the city’s most sustainable office buildings, is targeting 6 Star Green Star, 5 Star NABERS Energy and Platinum WELL certification.

A builder will be appointed this year, completion of 555 Collins Street is slated for mid-2022.