Desane Group Holdings acquisition announcement

Desane Group Holdings Limited (ASX: $DGH) has completed the acquisition of a prime retail and commercial property in the Norton Street, Leichhardt central commercial district. The purchase price for the 436m2 freestanding property was $3.5 million. The property is zoned E1 (Local Centre) and currently permits a 1.5:1 building ratio. It has ample onsite basement parking and is strategically located with access to well-serviced bus routes to Sydney's CBD and within walking distance from Petersham Train Station. The acquisition is part of Desane's investment property restocking and is expected to bolster future rental revenue streams and provide development upside in the medium term. The property is currently tenanted on medium to long term leases to a diverse mix of tenancies and is unencumbered.

Executive Commentary

The acquisition of the prime retail and commercial property in the vibrant Norton Street area aligns with Desane's strategy of enhancing its inner western Sydney property portfolio. This acquisition is a part of our investment property restocking and is expected to contribute to future rental revenue streams while providing potential development opportunities in the medium term. We believe that the property's strategic location and the potential planning uplift decisions for the Leichhardt central commercial precinct position us well for future growth and value creation. We are committed to maximizing value for our shareholders through strategic acquisitions and prudent property management.

Summary of Acquisition and Outlook

Desane Group Holdings Limited (ASX: $DGH) has successfully completed the acquisition of a prime retail and commercial property in the Norton Street, Leichhardt central commercial district for $3.5 million. The property, strategically located with access to public transportation and surrounded by a vibrant multicultural restaurant and café culture, is expected to contribute to Desane's rental revenue streams and provide potential development opportunities in the medium term. The company aims to capitalize on any planning uplift decisions for the precinct, aligning with the Local and State Governments' intentions. This acquisition reflects Desane's commitment to enhancing its property portfolio and maximizing value for its shareholders through strategic acquisitions and prudent property management.