Perth Valuations lift for GDI
GDI Property Group announced today that the independent valuation for 141 St Georges Terrace, Perth known as ‘Westralia Square’, has increased to $285.0 million as at 30 June 2019, up from $255.0 million at 30 June 2018.
The valuation increase is largely a result of improvements in both the Perth rental and capital markets, and the forecast rental uplift following the current capital expenditure program upgrading the floors, lifts, end of trip facilities and the lobby.
The uplift resulted in a significant increase in the assumed net effective market rents on expiry of the existing leases compared to the previous independent valuation and a 25 basis point tightening in the capitalisation rate from 7.00% to 6.75%.
GDI also received an independent valuation for 235 Stanley Street, Townsville, with there being no change from the previous independent valuation of $53.5 million. Mill Green, Perth ($330.0 million) and 50 Cavill Avenue, Surfers Paradise ($100.0 million) were independently valued at 31 December 2018.