Citi sees sale of Dexus' Brisbane office as positive despite sector headwinds

Dexus

30/07/2026 20:14

** Citi sees Australian property group Dexus' DXS.AX sale of its Brisbane office tower 480 Queen Street as a relatively positive update, despite maintaining a cautious view on the office sector
** DXS, on Thursday, agreed to sell the 480 Queen Street office tower for A$700 million ($491.89 million)
** Brokerage notes the sale price is in line with the asset's June-26 valuation and represents a 4% discount to its Dec-25 valuation
** Citi says asset sales announced this week have exceeded A$1.4 bln and, combined with about A$1.4 bln of divestments progressed through Dec-25, leave Dexus well ahead of its FY25-FY27 divestment target program
** Brokerage remains cautious on DXS due to near-term headwinds from APAC-related losses and elevated finance costs
** DXS shares down nearly 15% YTD


($1 = 1.4231 Australian dollars)

 (Reporting by Rajasik Mukherjee in Bengaluru)
 ((Rajasik.Mukherjee@thomsonreuters.com))