Deka Immobilien, the property arm of German banking group Deka, has bought a stake in a commercial building occupied by luxury retailer Bulgari in central Sydney for about A$56m (€36m).
Deka Immobilien, which owns about $50bn of real estate assets, acquired three floors of the building comprising 950 sq.m. from an unnamed international investor, the buyer said in a press release.
The property is near other high-end brands such as Chanel, Louis Vuitton, Dior and Cartier on Castlereagh Street in the city centre.
The recently modernised ground floor and first lower level are used for retail, while the first floor comprises office workspace.
All of the space acquired is let to Bulgari on a long-term lease.
The building was initially constructed as a hotel in 1914 and later converted into an office property with ground-floor commercial space in the 1960s.
Deka will add the retail acquisition to its open-ended Deka-ImmobilienGlobalreal estate fund, expanding the fund’s exposure to the Asia-Pacific region and diversifying the portfolio’s asset mix.