Commonwealth Bank commits to Darling Park
10 September 2008
The Commonwealth Bank (Group) has today announced its commitment to a long term commercial lease for the development known as Darling Walk, at the South end of Darling Harbour.
Darling Walk complements the Bank’s commitment at Darling Park 1, creating a precinct in the Darling Harbour area for its Sydney CBD based employees.
The Group will consolidate its existing sites in the Sydney CBD and progressively begin to occupy both Darling Park 1 and Darling Walk precincts over the next three years.
“The Group’s property strategy is to align business and employee needs, enabling stronger collaboration and improved synergies across our business through the provision of world class work environments for our people,” said Commonwealth Bank CEO, Ralph Norris.
In keeping with the proposed upgrade planned for Darling Park 1, Darling Walk will ensure all the Bank’s premises are state of the art and in line with the new workplaces at Sydney Olympic Park and Parramatta. The site will deliver an environmentally sustainable design, with low rise atrium style buildings and open and unique shared spaces.
“This is a significant commitment on behalf of the Bank which I envisage will deliver many benefits to our employees, customers and shareholders in the future,” said Mr Norris.
Darling Walk will be developed by Lend Lease Development who has entered into an agreement with Sydney Harbour Foreshore Authority to redevelop the site.
The Lend Lease managed Australian Prime Property Fund Commercial (APPFC), will finance and acquire the completed project in joint venture with one of its existing offshore institutional investment partners.
Carmel Hourigan, CEO APPF said, “We are pleased to be able to offer our institutional investors exposure to this new generation office building in the Sydney CBD. This agreement positions both groups well to benefit from this landmark commercial asset. On completion, the new asset will take APPF Commercial’s assets to over A$2 billion and increase the Fund’s weighted average lease expiry to over seven and a half years.”
“The securing of such a high quality tenant as Commonwealth Bank of Australia will further enhance APPFC’s income stream and the value of Darling Walk over the long term,” said Ms Hourigan.
Darling Walk will deliver best practice environmental initiatives, innovative and sustainable design that is sympathetic to the surroundings. It will deliver a 6 Star Green Star design rating and 5 Star NABERS energy rating – improving the overall environmental quality of the building.
“We see the delivery and ownership of highly sustainable commercial office buildings as integral in underpinning investment value for APPF Unitholders over the medium to long term,” said Ms Hourigan.
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