AMP Capital Investors has bucked the trend and maintained 100 per cent tenancy in its AMP Centre building in Sydney.
It has retained three major tenants, Baker & McKenzie, Bupa Australia (formerly MBF Australia) and AMP Capital Advisors, which occupy 55 per cent of the building located at 50 Bridge Street in Sydney's central business district.
The commitments extend individual expiry profiles by five to 10 years over a total of 31,000 square metres. AMP Capital Investors has also added a new tenant, Rothschild, which means the 56,000 square metre building will remain 100 per cent leased with an increased weighted average lease expiry of three to 5.4 years.
"We continue to maintain strong tenant retention rates across our portfolio, despite the relatively weak tenant market," AMP Wholesale Office Fund manager Henry Elliott said.
"The AMP Capital Wholesale Office Fund currently has a vacancy rate of 2 per cent, compared to the Australian Property Council of Australia reporting an average of 9.3 per cent across the country."
The AMP Centre is owned by the AMP Capital Wholesale Office Fund and Australian Core Property Portfolio. The Wholesale Office Fund is an open-ended unlisted trust investing in office buildings. It had gross assets of $2.4 billion as at 31 March 2010.
