Speculation surrounds square

THERE is strong speculation that another ownership change at Allendale Square is close at hand, less than six months after Cape Bouvard Investments bought half of the building for $45 million.

Market observers suggest Australian Prime Property Fund’s 50 per cent share of the 32-storey Allendale Square is on the market, though the fund’s manager denied any negotiations were taking place.

It’s believed Cape Bouvard was keen to purchase Allendale Square outright at the time of its original purchase deal with GPT.

The final deal included a first right of refusal over the remaining 50 per cent of the building.

Property industry sources claim Cape Bouvard is chasing the second half of the office tower.

“They tried to negotiate on the whole thing initially but it wasn’t the case,” an industry source said.

“I have heard they are trying again at the moment, they may well be doing it direct.

“Australian Prime Property Fund has kept very quiet on it.”

Cape Bouvard Investments marketing and sales manager Steve Hill said the company did not wish to make any comment.

However, Australian Prime Property Fund commercial portfolio manager John Bucknell said there was nothing happening at the moment.

“There is a joint ownership agreement and there is a first right of refusal but there’s nothing happening,” he said.

When Cape Bouvard acquired the first 50 per cent of Allendale Square it was the company’s biggest investment in the Perth CBD, following the $35.9 million acquisition of Wesfarmers House in July 2001.

Allendale Square is currently undergoing a significant refurbishment program, scheduled for completion in mid March.