Answering the call
Telstra has expanded its footprint in the nation's capital with the lease of a complex at 16-18 Mort Street, Canberra.
The contract runs for 12 years and will harbour the consolidation of the telco's business as well as provide accommodation for a team being set up to deliver specialist telecommunications services to the Department of Defence.
The building is owned by Investa Office Fund and will be finished by early next year to fit more than 1000 people across 13,250 square metres of office space.
Telstra property director Vito Chiodo said the group was constantly looking to remix its large portfolio and leasing deals of this type were perfect examples of diversifying that mix.
"This will be the biggest project our property team has undertaken in Canberra and the largest for the company so far this year," Mr Chiodo said.
Telstra recently signed a six-year, $1.1 billion contract with the Department of Defence to provide telecommunications services.
J.P. Morgan's analysts said the Mort Street vacancy had been a concern for the market and said that securing a 12-year lease to such a quality tenant was a positive.
InvestSMART FORUM: Come and meet the team
We're loading up the van and going on tour from April to June, with events on the NSW central & north coast, the QLD mid-north coast and in Perth, Adelaide, Melbourne, Sydney and Canberra. Come and meet the team and take home simple strategies that you can use to build an investment portfolio to weather any storm. Book your spot here.
Want access to our latest research and new buy ideas?
Start a free 15 day trial and gain access to our research, recommendations and market-beating model portfolios.Sign up for free