This article is from the Australian Property Journal archive
GPT has confirmed it is discussions with buyers for the Casuarina Square in Darwin and Wollongong Central shopping centres for a speculated combined sum of more than $820 million.
Media reports yesterday suggested Brisbane fund manager Sentinel had picked up Casuarina Square for $420 million, took a valuation belting last year from $516.6 million and a 5.75% cap rate down to $415.6 million and a 6.25% cap rate as the retail sector suffered the woes of the pandemic.
“In reference to various media articles recently published, the GPT Group confirms it is currently in discussions with two separate parties regarding the potential divestments of Wollongong Central and Casuarina Square. There is no certainty that these discussions will lead to either transaction being completed,” GPT said in a statement to the ASX yesterday.
ASX-listed GPT jointly owns Casuarina Square with the unlisted GPT Wholesale Shopping Centre Fund (GWSCF), while Wollongong Central is owned by the GPT Wholesale Shopping Centre Fund and GWSCF.
Wollongong Central is reportedly headed towards Sydney-based property funds manager Haben for over $400 million.
Meanwhile, Hong Kong’s Link REIT is speculated to be eyeing off as much as $550 million worth of stakes in Sydney CBD shopping centres The Queen Victoria Building, The Galeries and the Strand Arcade from Singaporean fund GIC.
The latest data from research firm The Data App shows $863 million worth of shopping centres changed hands in the September quarter, a 213.3% increase on the same period in 2020. Cap rates firmed by 61 basis points year-on-year to 5.59%, mainly because shopping centre transactions have been dominated by smaller, every-day needs retail outlets.
