AMP Capital funds achieve significant milestones to progress Quay Quarter Sydney development

Not for release or distribution in the US

The AMP Capital Diversified Property Fund (ADPF) and AMP Capital Wholesale Office Fund (AWOF) have acquired 33 Alfred Street Sydney on behalf of their investors for an undisclosed amount.  Owned by AMP Life, 33 Alfred Street is AMP Limited’s headquarters.

33 Alfred Street is a 26 storey A-Grade office tower located in Circular Quay adjacent to the proposed Quay Quarter Tower at 50 Bridge Street.  The acquisition consolidates the ownership of an entire 1.1 hectare block located on Circular Quay and provides investors with exposure to a quality office tower in a premier location with the opportunity to create further value going forward.

In addition, AMP Capital has secured a major anchor tenant in the development, with AMP group committing to 36,500 sqm of the Quay Quarter Tower at 50 Bridge Street from 2021.  This is a significant achievement for the project and AMP Capital will continue to work with other potential new tenants, investors and other stakeholders as it progresses through the next steps of the development.

AMP Capital Global Head of Real Estate Carmel Hourigan said the purchase of 33 Alfred Street was an excellent outcome for all parties involved.

“We are pleased to announce this transaction, in which the investors in AWOF and ADPF have acquired an A-Grade asset in a premier Sydney CBD location as well as simplifying the development pathway for the exciting Quay Quarter Sydney (QQS) precinct.

“AMP’s commitment to becoming an anchor tenant in the redeveloped Quay Quarter Tower at 50 Bridge Street fits in well with the detailed discussions we are having with other interested tenants.

“This is an important milestone for the QQS project, providing Sydney’s skyline with an innovative new building designed with the future of work at its core, and provides a compelling and unique investment opportunity for our clients.

QQS will realise a once in a generation opportunity to create a globally significant precinct and new urban neighbourhood, and provide a catalyst for the renewal of Circular Quay Sydney.”

Subject to final investor approvals, construction is expected to commence in 2018 and will take approximately three years to complete.

About Quay Quarter Sydney

AMP Capital’s Quay Quarter Sydney (QQS) project is a new mixed use precinct in Circular Quay, spanning two inner city blocks and circa 11,000 square metres. Creating Sydney’s newest urban neighbourhood, the development includes the new Quay Quarter Tower (50 Bridge Street), designed by Danish architects 3XN, to suit forward-thinking global businesses.  The Young and Loftus streets site will be a boutique style development with smaller scale buildings to house retail and dining, boutique commercial office accommodation and luxury residential apartments.  The precinct also includes Hinchcliff House, one of the oldest wool stores in Sydney. Loftus Lane which runs down the spine of the Young and Loftus site will be pedestrianised with an activated outdoor dining precinct.

About 33 Alfred Street Sydney

33 Alfred Street was Australia’s first skyscraper, delivered in 1962.  It is universally recognised as one of the most iconic properties in Australia, positioned at the doorstep of Circular Quay, the gateway to Sydney and Australia.  Designed by Graham Thorp, Peddle Thorp & Walker (PTW), the 26 storey (117 metre) building enjoys substantial uninterrupted Sydney Harbour and Circular Quay views once it clears the Cahill Expressway from level 5.