Property group ISPT has unveiled plans to build a $110 million office tower in Melbourne that will become the new headquarters for national health, wealth and living company Australian Unity.
Already in partnership with ISPT as a joint owner of Waurn Ponds shopping centre, Australian Unity pre-committed to 100% of the 271 Spring Street development to form the landlord and occupier team, set on redefining how new buildings can integrate and complement sites rich in heritage value.
Australian Unity agreed to a 15 year term over the entire 15,600 square metres of the 16 level office building.
“The development of 271 Spring Street will complete one of Melbourne’s most historic precincts with the careful integration of a new boutique office tower," ISPT CEO Daryl Browning said.
“John Wardle Architects, collaborating with heritage architect Bruce Trethowan, carefully considered the site context to develop a scheme which embraces and celebrates the heritage values of the site, while providing an elegant and sophisticated tower.
“We’re pleased to secure Australian Unity, a group we already enjoy strong ties with, to underpin the project," he said.
“This will be a prized addition to our Melbourne portfolio and reinforces our capacity to form strong partnerships to help deliver our growth agenda through a strategic mix of quality developments and acquisitions.
Australian Unity CEO Rohan Mead said the prime location at the top end of the city and the quality of the new building’s design were both critical factors in Australian Unity’s commitment to the project.
“Our new headquarters will be an appropriate new home for Australian Unity, ensuring we can continue to meet the needs of our almost one million customers across Australia and also continue our long historical association with Melbourne,” Mr Mead said.
“The Spring Street location will be more financially efficient for our company and at the same time allow us to convert our existing property holdings in South Melbourne into a modern retirement community."ISPT’s investment and development portfolio was valued at over $12 billion across the commercial, retail, industrial and residential sectors. Its customers included some of Australia’s largest industry superannuation funds and, ultimately, over 50% of Australian workers have a proportion of their retirement savings invested with ISPT.
Completion is anticipated in mid 2019.
ISPT said work on the Spring Street building will begin this month and will be expected to reach completion in 2019.