This article is from the Australian Property Journal archive
FEDERATION Centres and a major superannuation fund manager have teamed up to buy the Carlingford Court sub-regional shopping centre in Sydney from the GPT Wholesale Shopping Centre Fund for $177 million.
Located 24 kms north-west of Sydney, the centre is anchored by a Woolworths and Coles supermarkets and a Target store.
Carlingford Court will be acquired at a passing yield of approximately 7.25%.
Federation Centres CEO Steven Sewell said the purchase is consistent with the trust’s focus on sub-regional centres and non-discretionary, every day shopping.
“Carlingford Court provides further diversity to the Federation Centres’ portfolio of owned, co-owned and managed shopping centres and I am very pleased to do so with another quality co-ownership organisation,” he added.
GWSCF fund manager Michelle Tierney said the fund has taken advantage of the strong interest shown in sub-regional shopping centres.
“Carlingford is a great quality centre but it no longer fitted the Fund’s portfolio strategy,” she said.
The sale represents a 4.98% per cent premium to the asset’s 30 June book value.
“The sale caps off a successful year for the fund. GWSCF was named the top performing retail wholesale fund and completed a $569 million capital raising, earlier in the year, which was over-subscribed.
“This sale gives the fund the opportunity to reduce gearing, provides additional capacity to fund its $760 million development pipeline and explore acquisition opportunities in line with the Fund’s strategy,” she added.
Colliers International’s Lachlan MacGillivray acted for GPT on the transaction.
Property Review
