This article is from the Australian Property Journal archive
LEND Lease has continued its shopping spree, yesterday it led a consortium to buy $1.4 billion worth of retail properties.
Earlier this week, Lend Lease successfully made a $191 million takeover of Primelife.
Yesterday, ING Real Estate Investment Management sold 14 shopping centres owned by the ING Retail Property Fund to a consortium led by Lend Lease.
The acquisition is subject to further negotiation to be completed over the next six weeks.
Only three assets will remain in the ING Retail Property Fund portfolio, which comprises mostly neighbourhood and regional shopping centres in Australia and New Zealand.
Lend Lease expects to contribute up to $280 million or 20% of the capital required for the transaction.
The company said the purchase will build upon Lend Lease’s investment management and retail platforms and its model of investing alongside third party capital partners.
REIMA CEO Denis Hickey said the fund is due to expire in two years.
“As part of our strategic review for the fund we have explored all options to maximise unitholder value and at this stage there is merit in continuing to work with Lend Lease to finalise this offer,” he added.
Hickey said whilst ING have made the decision to sell the assets, its Australian real estate business remains an important part of ING’s global strategy.
REIMA currently has over $9 billion in assets under management in five listed funds and a series of development projects across Australia.
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