South32 skyscraper renamed Palace Tower as part of a$10 million makeover at 108 St Georges Terrace

The skyscraper once dubbed Bondy’s Tower is being renamed Palace Tower in a nod to its Gold Rush history, as part of a $10 million makeover to attract a new anchor tenant.

The building at 108 St Georges Terrace was built by late businessman AlanBond, who worked from the penthouse suite of what was considered Perth’s most prestigious business address.

It has more recently been known as the South32 Tower after the anchor tenant, which is due to end its lease late next year ahead of a move to theEnex building.

The name change reflects the Palace Hotel built onsite nearly 130 years ago during the Gold Rush.

It is also part of a bid, along with the makeover, to attract a new anchor tenant, amid competition from a raft of premium-grade new offices at Elizabeth Quay.

The makeover includes new boardroom facilities, an upgraded wellness centre, improved end-of-trip facilities and lobby, as well as a concierge service.

But will the upgrade catapult the skyscraper back into the prime or premium sector?

Owners Lendlease and Realside concede that even after the makeover is complete mid-year, it will remain an A-grade building.

The West Australian understands the size of the building’s floor plates prevent it from being categorised as a prime or premium grade office.

Realside chief executive Linda Rudd said the makeover would help the office stand out in a competitive market.

“We anticipate leasing demand will only strengthen as a result of the refurbishment, ensuring Realside and Lendlease are in a strong position to fill the South32 backfill when it leaves the building late in 2025,” she said.

She said the makeover would meet today’s high standards.

“The expectation among today’s office tenants is that they are able to access  high-quality facilities in line with global standards,” she said.

“Investment in best-in-class facilities for today’s tenants will differentiatePalace Tower in a competitive leasing market, while the new name celebrates a new chapter.

The makeover includes a new business lounge on the ground floor in the section of the lobby where the current cafe is located.

The adjoining Meat and Wine Co venue will service this area and provide hot drinks, appetisers, wine and cocktails to customers who want to use the space after the cafe closes, ensuring late afternoon coffee in a city wheremost cafes close by 3pm.

The ground floor cafe will be relocated to where the security desk is currently located, and will be operated by the popular La Veen, which also has venues at King Street and Raine Square.

“The Palace Hotel has a long history as a central place for people to meet,”Ms Rudd said.

“We wanted to re-create that sense of gathering so that Palace Tower becomes a central and preferred place for people in the city to come together.”

An improved wellness centre will provide Peloton bikes, gym equipment and yoga and Pilates classes.

South32 will retain signage rights until it vacates the skyscraper.

The refurbishment team includes architectural firms Woods Bagot and Oriol Design Studio, construction contractor CDI Group, services consultant NDY and project managers Generate Property Group.

Article written by Kim Macdonald for https://thewest.com.au/business/property