Office real estate investment trust Cromwell Property Group acquired an A-grade office building at 420 Flinders St. in Townsville, North Queensland, from Lancini Property and Development for A$63.5 million, The Australian Financial Review reported.

The building is leased to the Queensland government-owned energy company Energy Queensland and the National Australia Bank and has been placed under Cromwell's Direct Property Fund, which has nine office, retail and industrial properties spread across the Australian Capital Territory, Queensland, Victoria and South Australia.

According to the Dec. 17 report, the nine-level Energy Queensland building spans more than 7,000 square meters of office space and includes ground-floor retail space.

The deal comes as Cromwell is hoping to raise A$300 million from an entitlement offering.