Seven West Media has offloaded its Perth headquarters for $75 million after ASX-listed Primewest snapped up the property in a buy and leaseback deal.
The Primewest fund has now gone unconditional on the off-market purchase of Seven West Media’s Osborne Park headquarters approximately five kilometres from Perth’s CBD.
The sale comes only weeks after the financially troubled media conglomerate completed the sale of its magazine arm—Pacific magazines, to Bauer Media for $40 million on 1 May.
The 5.65-hectare home to Channel Seven, The West Australian and Sunday Times newspapers sits across three titles at 50 and 54 Hasler Drive and 44 Walters Drive.
ASX-listed Seven West Media will continue to occupy the Perth site as its headquarters. Terms of the sale include a lease for 15 years.
Primewest executive chairman John Bond said the acquisition provided the company with “an exceptional, counter-cyclical investment opportunity” with strong cash flow to help fund its future development potential.
The transaction was negotiated on a sale and leaseback basis with a net rent of $4.3 million per annum.
“If the draft Herdsman Glendalough Structure Plan is approved it will be a game changer for the property and opens up significant opportunities for mixed-use as well as commercial development,” Bond, son of late tycoon Alan Bond, said.
“We believe the Herdsman Glendalough area, together with the Stirling City Centre, will form Perth’s second CBD with a vibrant urbanism that embraces mixed use development, dense built form, high frequency public transport and quality public spaces for the enjoyment of residents and employees.”
The property comprises 11,395sq m of office space and 31,166sq m of industrial warehousing, along with 500 car parking bays.