Dexus announced that it has exchanged contracts for the sale of three wholly owned office properties for a combined gross sale price of $715 million1, exceeding its announced target of circa $2 billion of divestments by the end of FY27.
Dexus Group CEO and Managing Director Ross Du Vernet said this recent round of transactions delivered on the commitment made in 2024, ahead of target.
“Today’s announcement demonstrates our disciplined approach to capital management and meeting commitments to security holders. We have a high quality investment portfolio and transactions like these show we can secure liquidity at pricing which represents a significant premium to what is implied in the Dexus security price. We remain focused on initiatives that demonstrate and unlock value.”
30-34 Hickson Road & 36 Hickson Road, Sydney, and 123 Albert Street, Brisbane were sold for a combined gross price of $715 million1, in line with the combined independent valuations as at 30 June 2026 or reflecting a circa 4% discount to combined book values at 31 December 2025.
Settlement is expected to occur in October 2026, subject to certain conditions precedent, including FIRB approval. At settlement, circa 67% of the sale price will be received, with the remaining circa 33% balance deferred for 30 months and subject to a 6.25% per annum coupon.
30-34 Hickson Road, Sydney is an A grade office building located in the Sydney CBD, with occupancy by area of 41% and a WALE of 0.7 years2.
36 Hickson Road, Sydney is a heritage office building located in the Sydney CBD, with occupancy by area of 89% and a WALE of 1.1 years2.
123 Albert Street, Brisbane is a Premium grade office building located in the Brisbane CBD with occupancy by area of 96% and a WALE of 5.5 years2.
Sale proceeds on settlement would reduce Dexus’s pro forma look-through gearing3 by circa 2 percentage points.
- Excludes transaction costs, at 100% ownership.
- Occupancy by area and WALE by income are as at 31 December 2025.
- Includes subordinated notes and adjusted for cash and debt in equity accounted investments, excluding Dexus’s share of co-investments in pooled funds.
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