Woman in office building for Female CEOs story for IWD.

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Women are still underrepresented in leadership positions in the property industry, despite concerted efforts to smash the glass ceiling in the sector.</p><p>This International Women&#x27;s Day <em>The Urban Developer</em> runs the rule over ASX200 listed organisations from the property sector for female inclusion in executive teams. </p><p>In 2020 just 5 per cent of companies on the ASX200 had a female chief executive, despite a recent study by the Workplace Gender Equality Agency finding appointing a female chief executive increased an organisation’s market value 5 per cent. </p><p>Women make up less than 20 per cent of chief executives nationally.</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/cdee52ef-3878-4651-8bcc-f4658358eca4.png" width="800"/></picture><div><span style="align-content:center;opacity:0.8">▲ Just one female CEO appointed in 2020, making up 4 per cent of appointments. Image: Chief Executive Women </span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Dexus executive general manager for funds management Deborah Coakley said the industry had been working to build a talent pipeline of future female leaders over the past 10 years.</p><p>“The impacts to the culture of the industry as more females enter across various levels are obvious, but we still have more work to do to ensure women thrive equally in our industry,” Coakley said.</p><p>“There’s no single initiative that will shift the dial on gender equality … it starts with the leadership shadow. The impact of female leaders visibly stepping up to the challenge of gender equality and holding themselves and their teams to account for delivering inclusive workplace cultures is crucial.”</p><p>Coakley said while broadly speaking 2020 had been a challenging year for women in the workforce she hoped that long-term changes to more flexible working options would pay dividends. </p><p>According to the Chief Executive Women’s report on female representation in the ASX200 just one out of 25 chief executive appointments last year was a woman (4 per cent). About 65 per cent of companies on the ASX200 have no women in executive leadership line roles, that feed into chief executive positions. <br></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><strong>Women in executive leadership on ASX200</strong></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><table><thead><tr><th>Company</th><th>Percentage of women in ELT</th></tr></thead><tbody><tr><th>REA Group</th><th>50</th></tr><tr><th>Stockland</th><th>50</th></tr><tr><th>Dexus</th><th>25</th></tr><tr><th>Lendlease</th><th>25</th></tr><tr><th>Charter Hall Group</th><th>25</th></tr><tr><th>Mirvac</th><th>22</th></tr><tr><th>Centuria Industrial REIT</th><th>20</th></tr><tr><th>Scentre Group</th><th>18</th></tr><tr><th>Fletcher Building Ltd</th><th>17</th></tr><tr><th>Cromwell Property Group</th><th>13</th></tr><tr><th>Goodman Group</th><th>5</th></tr></tbody></table></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><sup><sub>^Source: Chief Executive Women&#x27;s report on female representation in the ASX200 showing percentage of women in the executive leadership teams of property sector organisations.</sub></sup></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Roberts Co chief executive Alison Mirams is passionate about building a better industry and heads up the two-thirds female executive team.</p><p>Mirams said she believed it was  important for women to be at the table because they brought a unique perspective.</p><p>“I am trying to make the industry a better place,” Mirams said.</p><p>“A lot of people say you need to fix the industry for women. You don’t need to fix it for women, you need to fix it for men and the women will benefit. You need to fix it for everyone.”</p><p>Griffith University Business School’s Associate Professor Sacha Reid said it was when women got to middle management that they were likely to leave the industry due to a lack of career progression to key chief executive feeder roles.</p><p></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/b1d8eb5a-1985-4b4f-9a2c-aa68096b7453.png" width="800"/></picture><div><span style="align-content:center;opacity:0.8">▲ 65 per cent of ASX200 companies had no women in executive leadership team positions. Image: Chief Executive Women</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>“It’s been a very male dominated industry. I think we need more male champions of change, which has been good for the industry, and more women supporting other women. When you’re down in the trenches you need more than one or two women to look up to.”</p><p>In Randstad’s Women in Construction report one-third of women surveyed said there were not enough opportunities for career development in the industry. Nearly four in ten (39%) believed that a lack of female role models in senior positions was a key barrier to progression.</p><p>According to <em>The Economist’s</em> glass ceiling index Australia is sitting slightly above the OECD average, ranked 16th in the world for conditions for working women. </p><p>The highest ranking country was Sweden where paid parental leave was offered for both parents.</p></div></div></div></div></div>

Women Still Lagging in Property Industry Leadership

Dexus offloads 10 Eagle St, Brisbane.

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Marquette Properties has splashed out $285 million to secure 10 Eagle Street in Brisbane&#x27;s so-called “Golden Triangle”.</p><p>Marquette managing director Toby Lewis said the gold tower was one of the top 10 buildings in the CBD with an “excellent leasing history” and they had been anticipating its entry to the market.</p><p>“I think it’s an irreplaceable asset in Brisbane’s CBD,” Lewis said. </p><p>“We are Brisbane-based and focused. Brisbane City is our favourite place to invest and grow and help shape the city. We have three CBD assets … we have about $550m exposure to Brisbane City.” </p><p>Lewis said the office market had been robust through the pandemic.</p><p>He said he was confident it would continue to grow during the next two years, helped by the investment in Cross River Rail and the city’s bid to host the 2032 Olympic Games. </p><p>“Despite the ongoing long-term uncertainty associated with the Covid-19 pandemic, we have enabled more than 150 Australian families to invest in 10 Eagle Street and look forward to delivering strong returns as Brisbane continues to grow as a city and as a city to invest in,” Wilson said.</p><p><a href="https://theurbandeveloper.com/articles/dexus-offloads-office-assets">Dexus sold the asset </a>from its Dexus Office Partnership portfolio and net sale proceeds would be used to pay down debt, chief investment officer Ross Du Vernet said. </p><p>“This transaction continues our asset recycling strategy, realising value for both Dexus and our Dexus Office Parner while reducing our exposure to the Brisbane market,” Du Vernet said.</p><p>“It also provides us with an excellent opportunity to focus our leasing, asset management and development capabilities on advancing our city-shaping development project at Waterfront Brisbane.”</p><p>The golden tower at 10 Eagle St was built in 1978. The 34-storey building has 27,8000sq m of office space in Brisbane’s golden triangle, bordered by Eagle, Queen and Edwards streets. It was the city&#x27;s tallest building at the time of completion.</p><p>The sale is expected to settle next month. The building is 92 per cent occupied with a weighted average leasing expiry (WALE) of 2.9 years with key customers including AEMO, Wilson Parking and Accenture.</p></div></div></div></div></div>

Marquette Properties has laid out $285 million to secure 10 Eagle Street...

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<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Dexus has taken a 50 per cent-plus stake in Atlassian’s $1-billion timber tower anchoring Sydney’s <a href="https://theurbandeveloper.com/articles/sydney-central-station-tech-hub-includes-atlassian-anchored-skyscraper">tech precinct</a> next to Central Station. </p><p>While the ASX-listed landlord declined to comment on the speculation, industry sources said that the transaction was struck on a “low 4s” cap rate—reflecting the strong occupancy profile of the Nasdaq-listed <a href="https://theurbandeveloper.com/articles/sydneys-silicon-valley-secures-software-giant-atlassian">tech giant Atlassian</a>, who will remain an equity partner in the project.   </p><p>The 40-storey <a href="https://theurbandeveloper.com/articles/atlassian-unveils-timber-tower-hq-at-tech-central">skyscraper</a> has 60,000sq m of net lettable area, with Atlassian’s headquarters taking at least 85 per cent of the tower’s office space, leaving just six floors. </p><p>Based on comparable office rents—Poly’s <a href="https://theurbandeveloper.com/articles/poly-george-street-tower">210 George Street</a> is leasing for around $1,300 a square metre—and a sub 4.5 per cent cap rate, the 60,000 square metre office likely transacted around the $28,000 per square metre-mark. </p><p>Dexus pipped fund manager ISPT to the sought-after partnership and is understood to be finalising negotiations with Atlassian.</p><p>The timber skyscraper will add to its neighbouring $2.5-billion twin-tower <a href="https://theurbandeveloper.com/articles/dexus-frasers-name-architect-for-25bn-central-place">Central station plans</a>, which will bring 150,000sq m of net lettable area to the market once developed. </p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/0ddec65a-4f24-4db6-bf86-de558a828203.jpg" width="870"/></picture><div><span style="align-content:center;opacity:0.8">▲ Dexus is selling a 50pc stake in the Harry Seidler-designed Grosvenor Place.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Meanwhile, a 50 per cent stake in Dexus’ 44-storey Grosvenor Tower has hit the market. The group’s Grosvenor Place Holding Trust owns a 37.5 per cent interest in the tower, according to financial statements. </p><p>A Dexus spokesperson confirmed that the group is selling down its entire interest in the tower, which lost <a href="https://theurbandeveloper.com/articles/deloitte-makes-3bn-circular-quay-tower-its-new-headquarters">anchor tenant Deloitte</a> to AMP’s Quay Quarter last year.</p><p>Chinese sovereign wealth fund China Investment Corporation is believed to have picked up another 50 per cent to add to its existing 25 per cent ownership in the tower, <em>The Australian</em> first <a href="https://www.theaustralian.com.au/business/property/china-wealth-fund-behind-1bn-grosvenor-place-swoop/news-story/391c83175eecd12fadd5b5d1df2842f7">reported </a>last week.   </p><p>In Melbourne, Dexus <a href="https://theurbandeveloper.com/articles/dexus-offloads-452-flinders-street-for-450m">offloaded</a> the 22-storey 452 Flinders Street to German investor Deka Immobilien for $440 million. Chief executive Darren Steinberg said that the group will <a href="https://theurbandeveloper.com/articles/dexus-offloads-office-assets">continue to recycle assets</a> to invest in more resilient markets. </p><p>“With Australia in a recession, we are preparing for subdued tenant demand and increased vacancy levels in our core office markets,” Steinberg said.</p><p>The country’s largest office landlord <a href="https://theurbandeveloper.com/articles/dexus-offloads-office-assets">reported</a> that it collected 98 per cent of its rent across the June quarter, while the group’s office portfolio occupancy remained steady at 95.6 per cent.</p></div></div></div></div></div>

Dexus has taken a 50 per cent stake in Atlassian’s $1 billion timber tower anchoring the government-backed tech precinct...

Dexus is offloading $555 million in Sydney office assets at Kent Street in the CBD and George Street in Parramatta.

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Dexus is offloading $555 million in Sydney office assets as it moves towards other investment opportunities.</p><p></p><p>The group sold its 50 per cent interest in 309-321 Kent Street, Sydney for $401 million to Hong Kong-listed Liu Chong Hing Investment Limited and Ashe Morgan.</p><p>The two office buildings were 93 per cent occupied with a weighted average lease expiry of 3.5 years.</p><p></p><p>The transaction was a continuation of the duo’s office buying spree which also included <a href="https://www.theurbandeveloper.com/articles/cornerstone-properties-offloads-cbd-tower-for-210m">310 Ann Street, Brisbane for $210 million</a> in March.</p><p></p><p>The other A-grade office building at 150 George Street, Parramatta and adjoining 2271sq m site also sold, just before Christmas, for $154 million to an undisclosed buyer in an unsolicited, off-market deal.</p><p>Commonwealth Bank of Australia recently vacated the site with 21,964sq m of space which has approval for a 33-storey office building.</p><p></p><p></p><p>The proceeds of the sales would initially be used to pay off debts as the ASX-listed company works towards “short-term growth prospects in the industrial and healthcare sectors”. </p><p></p><p>Dexus <a href="https://www.theurbandeveloper.com/articles/dexus-industria-reit-jandakot-airport-acquistion">picked up Perth’s Jandakot airport</a> and surrounding parcels for $1.3 billion as well as <a href="https://www.theurbandeveloper.com/articles/dexus-furthers-petrol-station-push-in-queensland">growing its convenience retail REIT</a> in recent deals worth more than $21 million.</p><p></p><p>Despite the investment-strategy shift, the group was still confident in the office market which Dexus chief executive Darren Steinberg <a href="https://www.theurbandeveloper.com/articles/fast-track-office-return-dexus-boss-says">expected to improve after Australia Day</a>.</p><p></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/6d3f00b4-25dd-4591-ba08-51a9d37c3d5e.jpg" width="800"/></picture><div><span style="align-content:center;opacity:0.8">▲ Dexus got the green light for the tower on George Street with 45,700sq m of office space from the Parramatta City Council in April 2019.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>There were also approved <a href="https://www.theurbandeveloper.com/articles/dexus-ups-1bn-collins-street-office-offering">plans to build a new 159-metre Collins Street office </a>tower, banking on the resurgence of Melbourne’s office market.</p><p></p><p>The company revalued its 189 assets in mid-December and reported 34 office, 1 healthcare and 89 industrial properties had lifted in value in the past six months, up $421 million or 2.4 per cent.</p><p></p><p>Steinburg said the value of its office portfolio increased 0.6 per cent and industrial jumped 8.7 per cent on prior book values.</p><p></p><p>“As evidenced by these latest independent valuations, the value of Dexus’ quality portfolio has remained robust in a Covid-impacted environment,” he said.</p><p></p><p>“We have continued to see growth in asset values for well-located industrial and logistics facilities, supported by strong investment demand.</p><p></p><p>“We anticipate the post-lockdown environment will continue to see global capital attracted to Australia, benefiting quality assets across the core property sectors.”</p></div></div></div></div></div>

Dexus has sold $555 million in Sydney office assets at 309-321 Kent Street in the CBD and 140-150 George Street, Parramatta....

Dexus 525 Boundary Street Spring Hill

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Brisbane-based Silverstone Developments has divested two prominent development sites in central Brisbane for $131 million.</p><p>The properties, 525 Boundary Street in Spring Hill and 43 Butterfield Street in Herston, were picked up by the country’s largest listed office landlord, Dexus.</p><p>Silverstone bought the 1745sq m Spring Hill site, currently occupied by the International Hotel, in late 2019 for $5 million and <a href="https://www.theurbandeveloper.com/articles/developer-lodges-plans-for-medical-facility">lodged plans for a purpose-built medical facility</a> in mid 2020. </p><p>The development, to be known as the Spring Hill Medical Centre, comprises a nine-storey development with five levels of medical space, as well as an ambulance bay and hospital-sized lifts. </p><p>The medical centre, to be anchored by a day surgery accompanied by ancillary healthcare services, will be opposite the St Andrews War Memorial Hospital, within an established education and healthcare precinct. </p><p>Silverstone Developments development manager Luke O’Dwyer told <em>The Urban Developer</em> the company was now reaping the rewards after identifying a gap in the healthcare market—prior to the pandemic, for purpose-built medical facilities.</p><p>“Spring Hill is a long-established medical precinct, however the majority of buildings are ageing, and there is an absence of cutting edge purpose-built healthcare and associated facilities,” O’Dwyer said.</p><p>“We have identified key sites adjoining existing hospital facilities, specifically Boundary Street in Spring Hill and Butterfield Street, Herston.</p><p>“Silverstone are now under construction at both of these sites, and we recently acquired an additional site in South Brisbane, to meet the healthcare needs of the growing population.”</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/a5caba1b-ee90-48cd-8b79-06678d12adb8.jpeg" width="1920"/></picture><div><span style="align-content:center;opacity:0.8">▲ Artists impressions of 43 Butterfield Street in Herston.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>These two transactions with Dexus mark Silverstone’s second major deal with some of Australia’s largest health funds.</p><p>In October, Silverstone <a href="https://www.theurbandeveloper.com/articles/the-maters-new-1225m-hq-in-newstead-double-deal">offloaded 14 Stratton Street in Newstead</a>, the Mater Hospital’s new head office and training facility to Charter Hall for $122.5 million.</p><p>Dexus, led by Darren Steinberg, will now pick up where Silverstone left off, managing high levels of leasing enquiry. Negotiations are reportedly progressing with a national day surgery operator for up to four floors of the building.</p><p>The Herston Car Park, at 43 Butterfield Street, is in a separate health precinct and is subject to a five-year lease and was purchased by Silverstone $4.6 million in mid-2017. It provides 354 car bays and will feature a flood management system.</p><p>Dexus said the car park’s strategic position next to one of Australia’s largest and growing integrated precincts, the Herston Health Precinct, home to the Royal Brisbane and Women’s Hospital, was one of the main drivers for its acquisition.</p><p>Dexus executive general manager, funds management, Deborah Coakley said the off-market acquisitions would deliver value-add opportunities to the company’s investors in a highly competitive market.</p><p>“These new developments continue to deliver on Dexus Healthcare Property Fund’s (DHPF) portfolio of high-quality healthcare infrastructure integrated within established health precincts,” Coakley said.</p><p>Dexus, the nation&#x27;s biggest office-building landlord and third-largest industrial landlord, is riding the wave of demand for real estate, now handling $1.2 billion million in assets under management in its DHPF fund alone.</p><p>The fund was launched in 2017 as part of an asset diversification strategy and has five core investors, including the Employees Provident Fund Malaysia, which invested $100 million in 2019.</p><p>It owns five large assets, including the North Shore Health Hub next to the North Shore private and public hospitals in St Leonards in Sydney.</p><p>Other assets owned by DHPF are the Australian Bragg Centre, Adelaide; College Junction, Brisbane; GP Plus Healthcare Centre, Adelaide; and Calvary Private Hospital, Adelaide.</p></div></div></div></div></div>

Brisbane-based Silverstone Developments has divested two prominent development sites in central Brisbane for $131 million...

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<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><strong>Listed office giant Dexus has confirmed the details of its $1.476 billion acquisition of the 80 Collins Street precinct in a note to the ASX on Thursday. </strong></p><p>Rumours started <a href="https://theurbandeveloper.com/articles/dexus-acquires-13bn-collins-street-precinct-">earlier this year</a> about what is likely Melbourne’s largest ever property deal, forcing Dexus to confirm it was in the early stages of due diligence to acquire 80 Collins Street from funds giant QIC. </p><p>The fund manager has acquired a 75 per cent stake in the site worth $1.107 billion, while the Dexus Wholesale Property Fund will share the remaining 25 per cent. </p><p>The mammoth deal requires Dexus to tap the market for a fully-underwritten $900 million institutional placement and a non-underwritten security purchase plan for up to $50 million.</p><p>Dexus will now control about 20 per cent of the tightly-held eastern core of Melbourne’s CBD. The property giant acquired <a href="https://theurbandeveloper.com/articles/dexus-to-aquire-two-neighbouring-melbourne-sites">two separate sites</a> totalling 35,000sq m at 52 Collins Street and 60 Collins Street in 2018.</p><p>The billion-dollar precinct <a href="https://theurbandeveloper.com/articles/qic-acquisitions-brisbane-melbourne">developed by QIC</a> comprises an existing 52-storey A-grade office tower, as well as a 39-storey building under construction which is currently 63 per cent pre-committed with 24 per cent of net lettable area currently under negotiation. </p><p>Twenty-one retail tenancies and a 255-room Next boutique hotel will make up the remainder of the 5,169sq m site. </p><p>QIC will remain on board to manage the development of the 39-storey tower, retail podium and hotel. Interim completion is expected by July 2020. </p><p>Related: <a href="https://theurbandeveloper.com/articles/brisbanes-eagle-street-pier-to-get-14bn-revamp-">Brisbane’s Eagle Street Pier to Get $1.4bn Revamp</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/223f2c69-29bc-484a-bd6f-53531ad31ce8.jpg" width="1600"/></picture><div><span style="align-content:center;opacity:0.8">The billion-dollar mixed-use precinct comprises an existing 52-storey tower, while QIC is developing a 39-storey office tower, along with about 6000sq m of retail and a 300-key hotel managed by Singaporean brand Next.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>A dearth of short term supply has pushed vacancy rates in Melbourne’s CBD to 3.7 per cent.</p><p>In its quarterly real estate review, Dexus said that the Melbourne CBD office market is well placed to absorb new supply but it expects the vacancy rate to increase from next year. </p><p>Dexus chief executive Darren Steinberg said that the acquisition further enhances the group’s presence in the tightly-held “Paris end” of Melbourne’s CBD.</p><p>“Vacancy in the Melbourne CBD office market is nearing an all-time low, supported by strong population growth and significant pre-commitments across the upcoming supply pipeline,” Steinberg said. </p><p>The first two of four tranches, totalling $833 million, will be paid by June 2019, while the third and fourth tranche — totalling $274 million — will be paid in July and August 2020. </p><p>Dexus shares went into a trading halt prior to the announcement on Tuesday.</p></div></div></div></div></div>

Listed office giant Dexus has confirmed the details of its $1.476 billion acquisition of the 80 Collins Street precinct.

Sydney Tech Central Frasers Dexus

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Plans have been lodged with the City of Sydney for a long-awaited $2.5 billion commercial project in Sydney&#x27;s emerging Tech Central precinct.</p><p>The joint proposal by the country’s largest office landlord, Dexus, and the local arm of Singaporean property powerhouse Frasers comprises 130,000sq m of A-grade space across two towers of 35 and 37-levels, and a podium building.</p><p>In August, the development put forward plans for the third and <a href="https://theurbandeveloper.com/articles/dexus-frasers-win-approval-for-25bn-central-station-plans">final stage</a> of the NSW government’s unsolicited proposal process after Dexus and Frasers joined forces over buildings they own at Henry Deane Plaza on Lee Street.</p><p>Shortly after architects Fender Katsalidis and Skidmore, Owings and Merrill were <a href="https://theurbandeveloper.com/articles/dexus-frasers-name-architect-for-25bn-central-place">selected</a> as the project’s design team following an virtually-held international design competition.</p><p>The development, dubbed Central Place, will feature the latest sustainability initiatives, with rooftop community spaces and vertical gardens for occupants, and will be powered by 100 per cent renewable energy.</p><p>The Dexus-Frasers proposal will also invest in improving the public realm around Central Station.</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><hr/></div></div></div><div class="row ci"><div class="cell cell-sm-3 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/6d49f9c6-fd1d-42d2-ae6c-3d2bd76f8168.jpg" width="640"/></picture><div></div></div></div></div><div class="cell cell-sm-9 cx12"><div class="ci cl"><p><br><a href="https://theurbandeveloper.com/articles/sydney-central-precinct-tech-central"><strong>Project in Focus: Sydney’s Central Precinct </strong></a>Sydney’s largest commercial precinct is taking shape. Here’s everything you need to know…</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><hr/></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>A key element of the application is an underground facility for essential services which will allow future over-station development and facilitate the renewal of Central Station.</p><p>Central Place Sydney project director Kimberley Jackson said the development would rejuvenate Central Station as one of the key gateways to the CBD.</p><p>“Central Place Sydney is a city-shaping development that will attract some of the best innovation and technology businesses to Sydney,” Jackson said.</p><p>“The connectivity of the site to Australia’s busiest interchange, Central Station, and links to the neighbourhoods of Surry Hills, Chippendale, Eveleigh, Haymarket and Darling Harbour will contribute to a vibrant destination supporting Sydney’s 24-hour economy.”</p><p>The commercial project is the latest landmark development to emerge from the state government’s unsolicited proposal process at Sydney’s so-called “<a href="https://theurbandeveloper.com/articles/sydneys-silicon-valley-secures-software-giant-atlassian">Silicon Valley</a>” which encompasses 24ha across the station’s tracks at the southern end of the CBD.</p><p>The controversial unsolicited proposals scheme has allowed Dexus, which controls large swathes of long-term leaseholds within the western gateway sub-precinct of the government-planned hub, to submit plans for development without a traditional call for tender.</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/e57da8cb-32c8-471c-961e-0dcfbd6df6b8.jpg" width="800"/></picture><div><span style="align-content:center;opacity:0.8">▲ Artists impression of the proposed Central Place project in Sydney. Image: Fender Katsalidis, Skidmore, Owings &amp; Merrill</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Dexus and Frasers’ properties are held under long-term leases, with 14 Lee Street held by Dexus and its Office Partner, and 20 Lee Street and 26 Lee Street held by Frasers Property Australia.</p><p>The recently approved <a href="https://theurbandeveloper.com/articles/nsw-fast-tracks-fourth-tranche-approvals">rezoning</a> of the area to the western edge of the station has now enabled the construction of buildings up to 206 metres high—compared with 35 metres previously—as well as a major increase in office space.</p><p>Subject to Frasers Property Australia and Dexus securing the relevant approvals, construction is targeted to commence in 2022, with the first stage of the project expected to be delivered in 2025.</p><p>The project is anticipated to create 700 jobs in construction and will accommodate more than 10,000 jobs once realised.</p><p>It will sit next to another ambitious plan for the precinct, a <a href="https://theurbandeveloper.com/articles/atlassian-unveils-timber-tower-hq-at-tech-central">$1-billion-plus, 50-storey concrete and timber tower</a> slated to be home-grown tech giant Atlassian’s <a href="https://theurbandeveloper.com/articles/sydney-central-station-tech-hub-includes-atlassian-anchored-skyscraper">new home</a>.</p><p>Dexus secured a 50 per cent stake in that project in September, beating rival commercial property investor ISPT to the dotted line.</p><p>The Mike Cannon-Brookes and Scott Farquhar-founded Atlassian has selected Built to construct the innovative tower, following a three-way tender with Multiplex and Lendlease.</p></div></div></div></div></div>

Frasers and Dexus have lodged development plans for their circa $2.5-billion Central Place Sydney project... 

Atlassian will move ahead on plans to build a Tech Central tower with timber next to Central Station in Sydney after winning approval on the plans to be developed by Dexus

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Atlassian will move ahead with plans to build a $1-billion-plus tower next to Central Station in Sydney after winning approval for its plans.</p><p>Dexus will develop the tech company’s headquarters as part of a 39-storey mixed-use tower at 8-10 Lee Street, Haymarket in <a href="https://www.theurbandeveloper.com/articles/sydney-central-station-tech-hub-includes-atlassian-anchored-skyscraper">Sydney’s tech central</a> precinct.</p><p>The plans by ShoP Architects and BVN show an “expansive” lobby, retail and dinning on the ground floors, while levels one to six would accommodate the Railway Square YHA and levels seven to 39 would be the Atlassian global headquarters.</p><p>This equated to 58,683sq m of office, 7952sq m of backpackers accommodation, 2579sq m of lobby and retail, along with 492sq m of basement floorspace. </p><p>The five uppermost floors of the building would create an open air environment for wellness facilities, meeting areas, lounge spaces, dining areas and planted terraces.</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/5ea86bd3-f8dd-4a1d-a421-a5ae513531ad.jpg" width="800"/></picture><div><span style="align-content:center;opacity:0.8">▲ The Atlassian global headquarters will anchor Tech Central a 24 hectare precinct in Sydney.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>The lower levels incorporated the heritage railway parcels shed and YHA hostel into the development along with a two-level pedestrian link zone to be eventually transferred back to Transport for NSW.</p><p>The 3764sq m site would link the station with Toga and Adina Hotel to the west of the site and Dexus-Frasers site to the south as well as public transport.</p><p>The Sydney-based software company with links to Airbnb, Cisco, ebay, Toyota, Redfin, NASA and Kaiser Permanente originally <a href="https://www.theurbandeveloper.com/articles/atlassian-unveils-timber-tower-hq-at-tech-central">unveiled the plans</a> in June, 2020 and six months later lodged the development application.</p><p>In that time, <a href="https://www.theurbandeveloper.com/articles/dexus-confirms-14bn-atlassian-tower-backing">Dexus committed</a> to funding, developing and investing $1.4 billion in the company headquarters within Sydney’s tech central precinct.</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/585b007a-0cde-400f-aa38-9de96fa6981a.jpg" width="800"/></picture><div><span style="align-content:center;opacity:0.8">▲ The other designs considered for the site by 3XN/GXN, MVRDV + COX, John Wardle Architects + SO-IL and Shigeru Ban + Tol&amp; + PTW.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>The design of the tower would achieve high sustainability outcomes for climatic control as well as the use of mass timber according to the application.</p><p>“The design intent of the exterior façade materiality is based on a lighter palette scheme that contrasts with the saturated colour scheme of natural materials at the interior of the building, including mass timber and landscape areas,” the application said.</p><p>“The outer façade is composed of staggered light grey aluminium panels supported by a steel structure that wrap around the exoskeleton columns in between steel mega floors.” </p><p>The vision of the project was to also create 24-7 activation, incorporate the area’s history and improve the public realm for pedestrians while creating an innovative, sustainable anchor development for the precinct.</p></div></div></div></div></div>

Atlassian will move ahead on plans to build a tower next to Central Station in Sydney after winning approval on the plans to be developed by Dexus

A-REITs have good gearing buffers to withstand the looming property value declines due to weak demand and slowing economic activity caused by the Covid-19 pandemic according to Moody's Investors Service - Australian Real Estate Investment Trusts

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Property values would need to fall at least 34 per cent to have an impact on Australian Real Estate Investment Trusts, according to a Moody’s report.</p><p>A-REITs have good gearing buffers to withstand the looming property value declines due to weak demand and slowing economic activity caused by the coronavirus pandemic.</p><p>Covid-19 hit the sector hard with stock prices falling almost 50 per cent from 20 February to 23 March on the S&amp;P/ASX 200 A-REIT Index (XPJ); it has since recovered 27 per cent.</p><p>According to the report, retail properties would see the largest decline in value in response to Covid-19, at 10 to 30 per cent.</p><p>Office values were likely to experience moderate declines at 3 to 8 per cent and industrial properties would steam along, supported by <br>e-commerce and a focus on supply chains, either staying at the same value or dropping slightly by 3 per cent.</p><p>Related:<a href="https://theurbandeveloper.com/articles/infrastructure-construction-key-to-economic-recovery-moodys"> Infrastructure Construction Key to Economic Recovery</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><hr/></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><strong>Breakdown of A-REIT property portfolios </strong></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/ddc94373-7792-4017-afaf-539d2f6c022f.jpg" width="801"/></picture><div></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><sup>^ Source: Moody’s Investors Service, as at 31 December 2019</sup></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><hr/></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Moody’s Investors Service vice president Saranga Ranasinghe said property values would need to fall significantly for A-REITs to breach gearing and covenant thresholds.</p><p>“We expect retail property values to decline in the next 12-18 months. Office property values will fall to a lesser degree, and continued demand will support industrial property values.</p><p>“But average property values would need to fall 34 per cent to breach the top end of the rated REITs’ target gearing (debt/asset) ranges and fall 55 per cent to breach their covenant thresholds,” Ranasinghe said.</p><p>“The REITs came into the downturn with balance-sheet buffers to withstand an increase in gearing.”</p><p>Despite <a href="https://theurbandeveloper.com/articles/ubs-give-three-coronavirus-pandemic-scenarios-for-a-reits">uncertainty </a>in the market and A-REITs withdrawing guidance during Covid-19, the big companies have moved forward with mega projects and transactions including the <a href="https://theurbandeveloper.com/articles/gpt-parramatta">amalgamation </a>of three sites in central Parramatta, <a href="https://theurbandeveloper.com/articles/mirvac-completes-groundscraper-in-south-eveleigh">completion </a>of a “ground-scraper” in South Eveleigh and the <a href="https://theurbandeveloper.com/articles/dexus-45-clarence-street-sydney">sale </a>of a $530 million tower in the Sydney CBD.</p><p>The A-REITs were expanding into the <a href="https://theurbandeveloper.com/articles/the-emergence-of-an-institutional-residential-sector-co-living-and-build-to-rent">emerging </a>build-to-rent and co-living sector in a bid to strengthen portfolios.</p></div></div></div></div></div>

Property values would need to fall at least 34 per cent to have an impact on Australian Real Estate Investment Trusts, according to Moody’s ...

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<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="ci cl"><p>Property giant Dexus has secured Beaumont Tiles, Orora and Coco Republic as new tenants to its new purpose built facility, spanning a 70-hectare industrial site in Sydney suburb Pemulwuy. </p><p>The move sees Quarry Greystanes, an industrial estate 30-kilometres west of Sydney CBD now fully leased, marking the completion and delivery of the premium industrial estate in Western Sydney.</p><p>Dexus acquired the 70-hectare site, originally part of the 120-year old Prospect Quarry across two purchases in 2007 and 2014.</p><p>Dexus head of industrial development Chris Mackenzie says the industrial site has been developed to deliver more than 310,000sq m of premium warehouse space and approximately 30,000sq m of office space. </p><p>“Quarry has established a key economic hub for Western Sydney, attracting a diverse community of high calibre customers across a range of sectors, and providing employment for around 3,000 people.”</p><p>Related: <a href="https://theurbandeveloper.com/articles/jll-expects-21bn-injection-for-australias-industrial-and-logistics-sector-this-year">Industrial Sector Braces for $21bn Capital Injection in 2019</a></p><p>Recent JLL research shows demand for Sydney industrial stock recorded the highest take-up levels across Australia last year. </p><p>Confidence in the nation&#x27;s logistics sector has seen growth fuelled by ​the need to ​deliver goods with the greatest degree of efficiency, boosted further by the rise of online retail.</p><p>Capitalising on <a href="https://theurbandeveloper.com/articles/dexus-establishes-2bn-trust-to-invest-in-booming-logistics-sector">the strength of the sector</a>, Dexus said it has aligned its business to support its customers’ activities though different stages of supply chains.</p><p>Dexus head of industrial Mark Cuddy said the group recognised opportunity between the retail and industrial property sectors, a &quot;Ship to Shop Shelf&quot; offering, he described, providing “the capacity to move products from air or sea ports to their end users or retail outlets via warehouse space at Quarry”.</p></div></div></div>

Property giant Dexus has secured Beaumont Tiles, Orora and Coco Republic as new tenants to its new purpose built facility in Western Sydney

Merrifield Ford Australia

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Dexus has secured two large-format industrial properties in New South Wales and Victoria, worth a combined $173 million.</p><p>The first acquisition at 37-39 Wentworth Street in Greenacre, south-west of Sydney’s CBD, is a 19,246sq m modern cold store facility leased to Real Dairy Australia and Tomkin.</p><p>The facility sits on a 4-hectare site and includes a 5,950sq m expansion currently under development for Real Dairy Australia. </p><p>In Victoria, Dexus has picked up a new 51,595sq m prime grade logistics facility in Merrifield currently being developed for Ford Australia as their national spare parts distribution centre.</p><p>The new purpose-built parts distribution facility, to be constructed by Texco, will comprise a 50,580sq m warehouse and a 900sq m office occupying an 87,691sq m site, featuring a 5-Star Green Energy rating.</p><p>Merrifield Business Park in Mickleham will eventually become the largest business park in Victoria. On completion, it will be bigger than the Melbourne CBD, spanning 415 hectares and creating up to 25,000 jobs in the process.</p><p>The properties will now be placed into the Dexus Australian Logistics Trust and will lift the developer’s industrial property portfolio to more than $5 billion.</p><p>The unlisted logistics trust has investment from Singaporean sovereign wealth fund GIC. </p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/bc6a748b-ae61-4394-9d9d-169d727e9342.png" width="800"/></picture><div><span style="align-content:center;opacity:0.8">▲ The Dexus Australian Logistics Trust, in which Dexus holds a 51 per cent interest, has exchanged contracts to acquire two industrial properties.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Dexus chief executive Darren Steinberg said the acquisitions would build on the trust’s mandate to acquire quality, well-leased assets that would deliver favourable total returns.</p><p>The transaction harks back to similarly significant deals undertaken by Dexus over the financial year, completing or exchanging more than $1.6 billion of property acquisitions.</p><p>While the retail and office property markets have largely been in hibernation during Covid-19, sales activity across the industrial and logistics sector has carried on.</p><p>Last month, Charter Hall spent $648 million in a joint venture with Allianz Real Estate on a <a href="https://theurbandeveloper.com/articles/charter-hall-swoops-on-650-aldi-portfolio">logistics property portfolio</a> owned by German supermarket giant Aldi.</p><p>The listed developer also <a href="https://theurbandeveloper.com/articles/charter-hall-industrial-market-activity">picked up</a> an asset in Sydney’s Erskine Park, with the funds giant securing the Winc distribution facility for about $115 million—a mid- to high- four per cent yield.</p><p>Logistics giant ESR is also an eager investor in the market, having launched a <a href="https://thechurbandeveloper.com/articles/esr-launches-1bn-logistics-partnership">$1 billion fund</a> in March to develop and hold its own logistics assets, with several properties currently it its sights.</p><p>The Hong Kong-listed logistics platform is also eyeing new opportunities in the Asian industrial sector after <a href="https://theurbandeveloper.com/articles/-esr-lands-15bn-industrial-facilities-fund">announcing </a>a US$1 billion fund alongside joint venture partners APG and Canada Pension Plan Investment Board.</p><p>CIP also recently acquired a 2.4-hectare industrial development site in Brisbane’s Bundamba, which has development approval for a 10,200sq m warehouse facility.</p></div></div></div></div></div>

Dexus has continued its recent play for industrial property following spike in logistic asset valuations following the Covid-19 pandemic.

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<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><strong>Macquarie Group has inked a deal with the NSW government to develop two towers above Sydney’s Martin Place as part of the Martin Place integrated station development.</strong></p><p>Macquarie, along with construction partner Lendlease, will deliver the new underground Martin Place station integrated with a retail and recreational precinct, two new office towers and the existing Martin Place railway station.</p><p>The controversial deal was put forward by Macquarie as part of an unsolicited proposal in 2017 and, despite objections from neighbours GPT Group and Dexus, won <a href="https://theurbandeveloper.com/articles/macquaries-metro-martin-place-proposal-gains-key-approval">government approval in March</a>. </p><p>The government is billing the deal as a win for taxpayers with Macquarie paying $355 million for the air rights above the new metro station. </p><p>Macquarie will spend an added $637 million on the construction and delivery of the two Grimshaw and Johnson Pilton Walker-designed towers as part of the over-station development.   </p><p>The cost of the Martin Place rail station is $378.6 million. </p><p>Related: <a href="Sydney’s Lord Mayor Slams Government Support of Martin Place Proposal">Sydney’s Lord Mayor Slams Government Support of Martin Place Proposal</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/8619eac1-3bf8-4dc5-baad-6ecd450a1f45.jpg" width="2100"/></picture><div><span style="align-content:left;opacity:0.8">Macquarie will restore the historic 50 Martin Place building, which will be integrated into the precinct. </span><span style="float:right;opacity:0.8">Image: Macquarie</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Minister for Transport and Infrastructure Andrew Constance confirmed the plan on Wednesday and said it was Sydney’s first integrated metro station development.</p><p>“As part of our plan to improve public transport, new metro rail will help give people more choice on how they get around Sydney,” Constance said.</p><p>“With the new Martin Place Station, customers in the heart of Sydney’s CBD will have access to an unprecedented level of public transport and will be more connected than ever before.”</p><p>In separate statements, both Macquarie Group and Andrew Constance referenced Hong Kong&#x27;s International Finance Centre and New York&#x27;s World Trade Centre station as design precedents.</p><p>Related: <a href="https://theurbandeveloper.com/articles/macquaries-metro-martin-place-proposal-gains-key-approval">Macquarie’s Metro Martin Place Proposal Gains Key Approval </a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/a81d46a4-e096-4753-a30a-ab84526b6361.jpg" width="1600"/></picture><div><span style="align-content:left;opacity:0.8">Macquarie Group has appointed Lendlease as its design and construction contractor to deliver the new station, retail space, pedestrian connections and the buildings above the station.</span><span style="float:right;opacity:0.8">Image: Macquarie</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>“We recognise that we have been entrusted by the NSW Government to deliver this once-in-a-generation opportunity for the community,” Macquarie chief executive Nicholas Moore said.</p><p>“As a long-time resident, Macquarie understands and respects the historic, cultural and civic significance of Martin Place.”</p><p>Demolition and excavation work has already commenced on the site as part of the overall construction of the Sydney Metro City and Southwest metro line.</p><p>The Sydney Metro City and Southwest project will cost between $11.5 billion and $12.5 billion, and is independent of Macquarie&#x27;s proposal. </p><p>The six-year timeline for the project will mean that Macquarie is responsible for the delivery of the development by 2024. </p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><iframe sandbox="allow-forms allow-scripts allow-pointer-lock allow-same-origin allow-top-navigation allow-presentation" class="embed-responsive-item" allowfullscreen="" frameBorder="0" style="max-width:574px;width:-webkit-fill-available" height="300px" src="https://www.youtube.com/embed/boiuhoRrxkA"></iframe></div></div></div></div></div>

Macquarie Group has inked a deal with the NSW government to develop two towers above Sydney’s Martin Place.

DEXUS PROPERTY GROUP