Singapore's Ascendas REIT to pay $75 mln for Melbourne office scheme

Ascendas REIT, a Singaporean real estate investment trust company, revealed that it will be paying A$110.9 million ($75 million) to acquire 254 Wellington Road, an office development in Mulgrave, a southeastern suburb of Melbourne.

Located 21 kilometres south of central Melbourne in a high technology development zone, automotive giant Nissan has already agreed to lease 65.2 percent of the space in the project on a ten-year lease.

The scheme, which is expected to be completed in the second quarter of 2020, will provide 17,507 square metres of net lettable area, as well as parking facilities for 911 vehicles.

Ascendas REIT is purchasing the property from a joint venture between Frasers Property Australia, a property developing unit of Frasers Property Ltd. and ESR Australia, part of logistics firm ESR.