WOODSIDE has renewed its lease at Aspen Karratha Village for two years and has a further one-year option.
Woodside will lease 150 rooms, which represents 83% occupancy of the property, while Aspen will undertake property and technology upgrades, estimated to cost approximately $0.6 million.
With the lease extension and assuming the Woodside tenancy only, the annualised net income from Aspen Karratha Village property is expected to be approximately $3.3million.
Aspen is actively seeking tenants for the remaining 30 rooms at the property.
Aspen CEO Clem Salwin said this agreement is a major step forward.
“While there will be a significant decline in net income from this property, this is in line with the very difficult market conditions resulting from the much weaker capital expenditure cycle in the resources sector. However, maintaining a solid, high quality income stream from the property is a positive outcome in these market conditions,” he said.
Property Review
