Development Application lodged for 150 Lonsdale as part of the $1.3bn Wesley Place Precinct

15 October 2019, Melbourne – Charter Hall Group (Charter Hall or the Group) has today revealed it has lodged a Development Application for a major upgrade and repositioning of 150 Lonsdale Street, an asset of the Charter Hall Office Trust (CHOT), to create a future-ready $300million commercial building.

The major upgrade and repositioning is part of Charter Hall’s $1.3 billion Wesley Place precinct. Upon completion the precinct will provide three future-ready office buildings – 130 Lonsdale, 140 Lonsdale and 150 Lonsdale Street – amongst public landscaped grounds, world-class food and beverage as well as the restoration of the Wesley Church and an additional four heritage buildings on the 1.1-hectare CBD site.

The proposed works to 150 Lonsdale Street include the creation of new tenant amenity, and a new 6 level podium structure on Lonsdale Street. At completion, the project will include 29,000sqm of net lettable commercial space with leading sustainable design and construction features. Customer focused amenities such as premium end-of-trip facilities, a new ground floor arrival experience with concierge, and new vibrant retail tenancies will complement a business hub and an open-air terrace.

Charter Hall’s Regional Development Director Simon Stockfeld said, “The submission of 150 Lonsdale Street’s Development Application is a significant milestone for the Wesley Place project. Along with 140 Lonsdale Street, these works will form the final stages of this iconic precinct.”

“At 110,000sqm, Wesley Place will be the largest office precinct in Melbourne’s CBD and with 130 Lonsdale fully leased prior to practical completion and 150 Lonsdale Street leasing quickly, it demonstrates an immensely positive response towards our vision to create a transformative work-life destination as well as our leasing team’s capabilities in securing high calibre tenant customers,” Mr Stockfeld added.

CHOT Fund Manager, Trent James says that at completion, 150 Lonsdale Street and 140 Lonsdale Street will be valuable assets for CHOT’s existing prime grade office portfolio.

“With the favourable Melbourne CBD office outlook, 150 Lonsdale Street and 140 Lonsdale Street, both part of the Wesley Place precinct, are set to be strong performing assets within CHOT’s portfolio. At completion, both assets will demonstrate our strong development capabilities and ability to deliver sustainable income returns for investors from long-term leases and quality tenant covenants,” says Mr James.

The proposed development plans will ensure that the repositioned 150 Lonsdale Street will integrate seamlessly it into the overall Wesley Place precinct. It will also serve to blur the line between the public realm and 150 Lonsdale Street’s lobby, encouraging both tenants and the wider Melbourne community to become more engaged with the open spaces and hospitality offerings.

Cox Architecture Director Simon Haussegger said, “The character of the existing 150 Lonsdale St building and the sculptural form of 130 Lonsdale St have informed our design approach for the refurbishment.”

“The proposed podium references the vertical rhythm of the existing building and frames the view of the Wesley Church. Green podium terraces provide opportunity for tenants to connect with nature and the green spaces within the Wesley Precinct below.”