Australian property investment management company Charter Hall has partnered with rival Abacus Property to buy a 38-storey office tower in Sydney’s central business district for A$630 million ($428.3 million) in an off-market transaction.

Under the transaction, Charter Hall acquire a 68 percent stake in the freehold building located on Elizabeth Street, whereas Abacus will take up the remaining 32 percent from the vendor, a joint venture between Dexus and Perron Group.

Charter Hall is acquiring the stake in the tower through two partnerships, that is, an existing Deep Value Property Fund partnership and a new partnership formed with Canadia-based Quadreal.

The deal ill be conducted in two batches, of which 75 percent of the purchase price should be paid before mid-November 2019, and the remaining 25 percent is subject to a put and call option expiring at the end of October 2020.