Sunsuper acquires Melbourne CBD property through AMP Capital

AMP Capital Investors has purchased a Melbourne CBD office property for $107 million on behalf of Sunsuper, the firm announced.

The property, at 330 Collins Street, contains more than 18,000 square metres of office space over 20 levels and takes the number of properties under its direct property portfolio mandate to five, according to AMP Capital.

AMP Capital portfolio manager Damian Fitzpatrick said that with office rent values in the Melbourne CBD set to rise in the next five years due to decreased development following the global financial crisis, the acquisition meet's Sunsuper's investment criteria in both geographical location and projected income returns.

The property is currently 100 per cent leased and will offer Sunsuper ongoing positive returns, he said

Sunsuper chief executive Tony Lally said the purchase complemented Sunsuper's national growth strategy, along with the recent purchase of 35 Clarence Street in Sydney.

According to CB Richard Ellis' latest Melbourne CBD office report, no large office buildings are expected to come on the market in Melbourne's CBD for three years, while demand from tenants will continue to remain strong, AMP Capital stated.