Daibiru Takes Half-Stake in Mirvac’s Melbourne Tower

Japanese real estate house Daibiru has taken a half-stake in Mirvac’s A-grade office tower at 7 Spencer Street on the south-western edge of the Melbourne CBD.

The tower is part of plans for the former site of the Melbourne Convention Centre acquired from Century Group Ausby Mirvac for $200 million in late 2019.

Daibiru now holds 50 per cent of the 21-storey, $630-million tower, which will boast about 46,000sq m of floor space with floorplates up to 3000 square metres.

The all-electric tower will target a 5 Star Green Star rating, 4.5 Star NABERS Water rating, 5.5 Star NABERS Energy rating and a Gold WELL Core and Shell rating.

The Fender Katsalidis-designed “next-generation” office tower includes 10 terraces to make the most of natural light.

Work on the site, on the bank of the Yarra and close to the Flinders Street intersection, began earlier this year.

It is part of Mirvac’s Northbank precinct, which also includes the under-construction build-to-rent tower LIV Aston, which comprises 472 apartments over 32 storeys and is due for completion in mid-2024.

According to Mirvac, the precinct also features “a welcoming public realm focused on wellness, sustainability and amenity, with a variety of public spaces and green retreats activated through curated events for future workers, residents and the public to enjoy”.  

At the time of approval, Mirvac chief investment officer Brett Draffen, said the precinct “represented a once-in-a-generation opportunity to unlock the value of this inner-city site for the benefit of the whole Melbourne community”. 

This is not Daibiru’s first Australian joint-venture: In 2018 it partnered with John Holland to fund a prime office development in the Sydney CBD at 275 George St in the Sydney CBD in a $240-million deal.

Established in 1923, the Japanese developer and owner has a substantial portfolio in Osaka and Tokyo that includes hotel buildings, offices and retail.