OUE REIT has agreed to buy a further c.50% interest in 180 George Street, the Sydney office tower known as Salesforce Tower, at an agreed property price of A$864.0m, taking its holding to about 69.9%.
Why OUE Real Estate Investment Trust (OUE REIT) is buying Additional c.50% interest in 180 George Street (Salesforce Tower), Sydney
The manager said Singapore remains OUE REIT's core market, complemented by selective investments in Australia. The deal raises Australia's share of the portfolio from 5.7% to 17.6% and lifts the trust's portfolio value excluding Crowne Plaza Changi Airport from S$5.6bn to S$6.4bn.
Deal terms and financing
The estimated purchase consideration is A$461.4m after debt and other net assets, and the total acquisition cost is about A$539.3m. On a 100% property-value basis the price is 3.7% below the price agreed for the 19.9% stake bought in March. The deal is funded by debt and part of the proceeds of the Crowne Plaza Changi Airport sale, and leverage is expected to rise temporarily to 45.3%.
Regulatory approvals and timing
OUE REIT secured the stake through pre-emption rights after the seller issued a pre-emptive offer notice. The release did not give a completion date.
Market context
The 55-storey tower is Sydney's tallest office building and was 100% occupied at 30 September 2026. Real Estate Source reported the seller as Chinese investor Ping An Real Estate; OUE REIT did not name the seller.
