Singapore-based company Fragrance Group Limited, through its subsidiary Fragrance WA-Perth Pty Ltd, has entered the Perth market, announcing the purchase of a Perth CBD site, 374-396 Murray Street for $40 million.
JLL’s WA Manager of Sales and Investments Sean Flynn, negotiated the transaction on behalf of Westbridge Property Group.
Westbridge Property Group is a strategic joint venture partnership bringing together the development and capital management expertise of the core management team of private equity firm Sirona Capital and leading developer Saracen Properties.
Chaired by Luke Saraceni, Westbridge has conducted several successful recent transactions in addition to the Murray Street site, including the future Quest site on Kings Park Road which is currently under construction.
Sirona finalised the purchase of a site in Packenham Street Fremantle from Westbridge for development as serviced apartments to be leased by Quest and this will also commence construction later this year.
Mr Flynn said the 4,926 square metre Murray Street site is located at the northern end of popular Shafto Lane, in close proximity to the Perth City Link redevelopment site and the now iconic King Street retail precinct.
According to Mr Flynn, the site is currently utilised predominantly as ‘at grade’ car parking.
The purchase includes intellectual property rights and development approval for 286 apartments over 31 levels, a ground floor retail and or food and beverage offering, and approximately 14,000 square metres of office accommodation.
“We are thrilled to have enticed Fragrance to Perth after having been in close discussion with founder and CEO Koh Wee Meng for some time.
“Fragrance is a very exciting group to work with given their strong development pedigree in Singapore.
“At last count they have built, own and operate 23 hotels in Singapore, and are also very active in other modes, with reportedly over 100 completed developments to their name.
“We understand they will look to convert the office component of the Murray Street DA into a substantial hotel offering in the near future,” said Mr Flynn.
JLL’s WA Managing Director, John Williams said he was not at all surprised by the group’s strong interest in the Murray Street site.
“This is a high-quality site that represents a valuable addition to the Fragrance Group’s inner city development portfolio.
“Their east coast transactions in June alone included the purchases of the Savoy Tavern site at 134-160 Spencer Street for $44.5 million and the 24-storey, 555 Collins Street building for $78 million.
“Both of these Melbourne sites are flagged for high rise, mixed use developments of potentially up to 100 storeys, indicative of the calibre of the Fragrance Group’s impressive pipeline of inner city apartment stock,” said Mr Williams.
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