Suntec REIT (SGX:T82U) )today announced that it has completed the acquisition of the land parcel at 177-199 Pacific Highway of North Sydney, New South Wales, Australia. The acquisition of the land is in relation with an earlier announcement the REIT made regarding its intention to develop Sydney's first commercial property in 8 years.

The Pacific Highway development will be Suntec REIT's first property outside Singapore.

The property development is question is a 31-storey A grade state-of-the-art commercial tower which is targeted for completion in early 2016. With an approximate net lettable area of 423,915 sq ft, the property is described as being located in one of the most prominent sites in North Sydney Central Business District at the junction of Pacific Highway and Berry Street. The development's prime location enables it to enjoy direct access to a number of major surrounding roadways and is well served by public transport.

Despite being at least 2 years away from completion, the property is 100 per cent pre-committed with the Leighton Group, one of Australia’s largest building, contracting and property development group taking a head lease of 76 per cent of the net lettable area. The average weighted average lease expiry of Leighton Holdings’ lease (WALE) is approximately 10 years.

Units of Suntec REIT closed the day 0.3 per cent lower from its previous close at S$1.50 on the Singapore Exchange.