After months of speculation, it has been confirmed that Anton Capital will take over Golden Age’s CBD property at Spring Street – a deal worth $112 million.
Despite initial plans for a residential development – with more than half the proposed apartments already sold – the site’s existing office tower is set for a major refurbishment, to take advantage of demand for office space as Melbourne’s vacancy rates plummet to just 3.2 percent.
This is the second time the site will change hands in less than three years, as Golden Age purchased the site from Grocon in January 2017 for $75 million.
Grocon had also planned for a residential development to replace the existing 16-storey tower, though had to make several amendments to its design after initially being refused a permit.
Golden Age, under developer Jeff Xu, reworked the plans after acquiring the site and went to market with 138 apartments spread over 39 storeys; with the addition of a 26-level hotel to front the adjacent Little Collins Street.
Xu had even brought on US powerhouse Starwood Capital to develop and operate the complex, which would have been the group’s first foray into the Australian market.
The Anton deal comes as the housing sector’s rapid cooldown continues to stall residential development, with developers abandoning planned apartments in favour of office space.
While Anton is yet to reveal its investors for the deal, it is speculated that Hong Kong investors CC Land and CSI Properties have backed the project.
The site remains key real estate due to its prime location in the CBD, overlooking the Parliament precinct and public parks.
Catch up on this week’s industry news – Tuesday’s Federal Budget delivered big wins for Victorian infrastructure; work halted on Multiplex’s Collins Arch development; and Martin Monro is departing Watpac with Lendlease’s Ben O’Rourke to step in as CEO.
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