Deka Immobilien takes advantage of current market phase for acquisition in Sydney, Australia

 
Frankfurt, 04.10.2024

Deka Immobilien has acquired an office and commercial building in Sydney for its open-ended real estate fund Deka-ImmobilienGlobal. This marks Deka's re-entry into one of the world's most sought-after office real estate markets following an absence of almost 20 years. The vendor of the property is The Trust Company (Australia) Limited. The parties have agreed not to disclose the purchase price. 

"This first purchase on the Sydney real estate market since 2006 sees the Fund taking advantage of the rare opportunity to acquire a modern building that offers rent increase potential, in a prime location in Australia's major financial centre", says Victor Stoltenburg, Managing Director of Deka Immobilien, commenting on the transaction. In addition, Deka-ImmobilienGlobal is diversifying its portfolio in Australia. The Fund currently has interests in offices in Brisbane and Melbourne plus retail properties in Sydney and Canberra.

The property at 333 George Street, built in 2016, comprises 3 floors of retail space and 15 office floors above that, and offers a total leasable space of around 14,500 sqm. The top five floors offer tenants the exclusive use of attractive terrace areas. The property is leased to 14 users, with Clyde Australia Services, the Australian arm of international law firm Clyde & Co., as the main tenant. The building offers architectural appeal and good links to public transport. In addition to having a tram stop directly in front of the building, the property is just a very short distance from the metro network, providing efficient links to the location from numerous commuter areas. An extension to the metro network was opened in August this year, further improving links for commuters.

The property has a 5.5-star NABERS Energy rating. The best possible rating is 6 stars, indicating that the building scores highly against NABER's sustainability standards. The NABERS system for evaluating energy efficiency and environmental impact was established in Australia in 1999 to implement uniform building assessments.

This acquisition complements Deka-ImmobilienGlobal's anti-cyclical office complex purchase in Vancouver in May of this year.

DekaBank is the securities services provider of the German Savings Banks Finance Group (Sparkassen-Finanzgruppe). Together with its subsidiaries it forms Deka Group. With total customer assets of more than EUR 402 billion (as at 30/06/2024) and 5.6 million securities accounts, DekaBank is one of the largest securities services providers and real estate asset managers in Germany. It provides private and institutional investors with access to a wide range of investment products and services. DekaBank is firmly anchored in the Sparkassen-Finanzgruppe (Savings Banks Finance Group) and tailors its product portfolio to the requirements of its owners and sales partners in the securities business.

The Deka Group's global real estate expertise is pooled in its Real Estate Division. The management companies, Deka Immobilien Investment GmbH and WestInvest Gesellschaft für Investmentfonds mbH provide management and support for around EUR 50 billion (as at 31/12/2023) in real estate assets.