WeWork Signs Lease for 222 Exhibition Street, Melbourne
SYDNEY / SINGAPORE / HONG KONG (July 31, 2018) — LaSalle announces that global space, community, and services company, WeWork has signed a 12-year lease for 5,250 sqm of commercial office space at 222 Exhibition Street, a mixed-use retail and commercial tower located in Melbourne’s CBD. WeWork will occupy four levels in the building, including a 1,228 sqm outdoor terrace area on Level 7 which serves as a spectacular extension of the traditional office space. The lease agreement also includes building signage rights.
Owing to its superb location on the prominent corner where Melbourne’s Theatre and Chinatown districts converge, 222 Exhibition Street will offer over 1,100 WeWork members access to a rich mix of amenities in the immediate vicinity including cafés, restaurants, bars, theatres, childcare facilities and hotels.
222 Exhibition Street is an icon in the Melbourne CBD skyline. It holds the 1989 RAIA Victorian Chapter Merit Award for Outstanding Architecture in the New Commercial category. Since its acquisition in 2015 by LaSalle Investment Management on behalf of a fund it manages, the 29-storey building has been rejuvenated to offer enhanced convenience and functionality to occupants and visitors.
Today, 222 Exhibition Street exudes a powerful street presence with an extended ground floor lobby encompassing a café and expanded retail suites, sheathed in a stunning tessellated external façade. Office spaces are column-free and optimized for natural-light and space efficiency. For the comfort of occupants who take alternative transport to the building, which affords direct access to some of Melbourne’s best parks, gardens, gymnasiums and bicycle paths, a brand new end-of-trip facility with secure bicycle parking, locker and changing room facilities has been added. A full lift modernization in partnership with Otis Lifts is presently underway.
222 Exhibition Street also leads in sustainability among Australian commercial buildings. Its unique predictive maintenance system, an “offensive” approach to building maintenance designed to detect and identify issues before they occur, was awarded the Collaborative Partnerships Award in 2017 by the Facilities Management Association (FMA) of Australia.
Jonathan Kearins, Senior Director of Real Estate, WeWork Australia and New Zealand, commented: “We are very excited to be expanding our Melbourne portfolio with the addition of 222 Exhibition Street. Diversity of locations is key to our network strategy, and the position of this site on Exhibition St was a natural fit for WeWork’s community of members, both large and small.
“Becoming deeply ingrained in the local communities where we are based is an important extension of the WeWork philosophy. The building and location fits perfectly with our growth strategy in the CBD market and will offer all of our Melbourne members a vibrant and energetic experience.”
Each WeWork location brings thousands of people to the surrounding neighborhood, adding innovative and ambitious creators to the local community and creating an economic ripple effect for the city. Bringing together entrepreneurs, small businesses and global enterprises in each WeWork location creates an innovation cluster, broadening the WeWork network by connecting a number of locations across a city.
WeWork’s member companies are innovative organisations of all scales. Globally, enterprise members are the company’s fastest growing segment, comprising over 20% of WeWork’s total membership. In Australia, enterprise companies at WeWork include Microsoft, Deliveroo and Twilio.
Gareth Sneade, Asset Manager – Australia, LaSalle Investment Management, commented, “We are delighted to welcome WeWork into the repositioned 222 Exhibition Street. The WeWork offering compliments our targeted asset repositioning work, and adds an extra dimension to the 222 Exhibition Street commercial leasing proposition moving forward. We are excited to assist WeWork as they embark upon the delivery phase of what will be a market leading co-working offering in a prime Melbourne CBD location.”
As of August 1, WeWork will have six open locations across Australia, including ten floors at 401 Collins St in Melbourne. WeWork at 222 Exhibition St is expected to open in March 2019.
WeWork is a platform for creators, providing over 253,000 members around the world with space, community, and services through both physical and digital offerings. Founded in 2010, WeWork currently has 274 physical locations in 74 cities and 22 countries around the world. WeWork’s members are creators who run the gamut from entrepreneurs, freelancers, and small businesses, to middle-market and Fortune 500 corporations. WeWork currently has 1,000+ enterprise member companies (businesses with at least 1000 employees around the world), representing over 20% of WeWork’s total membership.
About LaSalle Investment Management
LaSalle Investment Management is one of the world's leading real estate investment managers. On a global basis, LaSalle manages approximately $64 billion of assets in private and public real estate property and debt investments as of Q4 2018. LaSalle's diverse client base includes public and private pension funds, insurance companies, governments, corporations, endowments and private individuals from across the globe. LaSalle sponsors a complete range of investment vehicles including separate accounts, open- and closed-end funds, public securities and entity-level investments. For more information please visit http://www.lasalle.com, and LinkedIn.
NOTE: This information discussed above is based on the market analysis and expectations of LaSalle and should not be relied upon by the reader as research or investment advice regarding LaSalle funds or any issuer or security in particular. The information presented herein is for illustrative and educational purposes and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy in any jurisdiction where prohibited by law or where contrary to local law or regulation. Any such offer to invest, if made, will only be made to certain qualified investors by means of a private placement memorandum or applicable offering document and in accordance with applicable laws and regulations. Past performance is not indicative of future results, nor should any statements herein be construed as a prediction or guarantee of future results.