This article is from the Australian Property Journal archive
ANZ Bank is expanding its business into property trusts with the purchase of a 50% stake in Melbourne based Rabinov Property Management Limited, the manager of the Rabinov Diversified Property Trust.
In the proposed acquisition, the manager will be renamed ANZ Rabinov Property Management and the Trust will be renamed the ANZ Rabinov Property Trust.
A 50/50 joint venture between the existing RPML Shareholders and ANZ will continue as manager of the ANZ Rabinov Property Trust, whilst, ANZIB Specialist Asset Management will take over as responsible entity for the ANZ Rabinov Property Trust.
Rabinov’s managing director Ronald Serry said the joint venture will combine the expertise of the two parties and give it a number of synergies.
He added that Rabinov had the expertise and knowledge of the market to source investments and ANZ Bank has the capabilities of providing investment finance, advisory, underwriting, research and support.
Rabinov said while the joint venture is not an exclusivity arrangement between the parties, the joint venture arrangement with ANZ will present great growth opportunities as the trust continues to seek the acquisition of further properties within Australia.
ANZ’s managing director of corporate and structured finance Cathryn Carver said the acquisition is a significant step for ANZ and the trust.
“It’s a new step in the expansion of ANZ’s involvement in wealth management products and complements the existing Energy Infrastructure Trust run by ANZ Infrastructure Services and the Business Equity Fund run by ANZ Private Equity Management Limited, which currently represent the core of ANZ’s Alternative Assets unit.
“ANZ intends to provide support to the trust to secure suitable commercial properties consistent with its investment strategy.” Carver concluded.
The joint venture for the future management of the Trust will be established once certain conditions are satisfied by both entities and provided unitholders’ approval is obtained. A board with representatives from each entity will be appointed in due course.
RDPT was established in 1998 and listed on the Australian Stock Exchange in 2003 with three Nestle distribution centres. Since then, the trust has increased its assets to 17 properties worth approximately $238 million.
RDPT’s largest asset is the GE Capital Finance Australia headquarters at the Botannica Corporate Park in Richmond, Victoria. The Botannica Corporate Park comprises three buildings and is valued at $116.38 million.
Rabinov’s operations dates back to 1984, when Ezriel Rabinowicz (Rabinov) and his then partner Les Korman built up a substantial portfolio of supermarket properties throughout Australia.
In 1990, Serry started representing the Rabinov Group in the purchase of a number of those supermarkets.
In 1994, Serry successfully negotiated the sale of 19 supermarkets to Macquarie Bank, and these supermarkets formed the basis of the Macquarie Countrywide Trust.
The Rabinov Group then built another commercial property portfolio of 16 properties which were ultimately sold to GE Capital Real Estate in 2000/2001.
By Nelson Yap
