This article is from the Australian Property Journal archive
AVENTUS Group (AVN) has settled the Aventus Property Syndicate 1, which acquired McGraths Hill Home shopping centre in north west Sydney from AVN for $42.5 million.
AVN has a cornerstone equity interest of about 25% in APS1 and will provide funds and property management services.
Darren Holland, chief executive officer of Aventus Group said the transaction represents the launch of its dedicated large format retail syndicate since listing.
“We had indicated previously that Aventus would seek opportunities to manage third party capital and diversify its income streams, and APS1 is the first step in the implementation of this strategy.”
Aventus Retail Property Fund acquired the centre in 2016 as part of a portfolio of five large format retail centres.
Anchored by Bunnings and Harvey Norman, McGraths Hill Home has nine retailers across a gross lettable area of 16,000 sqm, with a 3.8 year wale. The centre occupies 38,000 sqm of land with 350 car parks.
The transaction, in conjunction with a recent underwritten distribution reinvestment plans, is expected to reduce gearing on a pro-forma basis by approximately 3% to 35.7%.
Aventus confirmed FY20 funds from operations earnings guidance of 3% to 4% growth.
