Weekly Transaction Update - 13th October
This week we recorded 14 major transactions for a total value of just under $612M.
In a rare and complicated deal we saw QIC and Deutsche Asset Management swap a Sydney retail asset with a Melbourne office asset in a $200M deal. With both assets valued close to $100M, the groups came up with a plan to swap these assets back in April this year. Under the deal, QIC will acquire Pittwater Place, Mona Vale which Deutsche picked up in on behalf of a german investor from Brookfield in 2012 for $56M at a 8.5% yield. A 6% cap rate on the grown income would price this at around $95M today. Deutsche on the other hand have an appetite for office assets with 2 recent acquisitions in Brisbane and one in North Sydney. The Melbourne asset being acquired from QIC at 555 Lonsdale St formed part of LaSalle's Australian Core Plus Fund in which investors unceremoniously ditched LaSalle for QIC in October last year.
Also this week we note that Charter Hall completed a sale and leaseback deal worth $100M with Hastings Deering, the CAT distribution for Queensland and NT. The deal which covered 2 assets in Acacia Ridge and 1 in nearby Archerfield was for Charter Hall's Prime Industrial Fund.
This week we also saw Paul Lederer acquire Stockland's Corimal Shopping Centre for $70M on a yield of 7.0%. Paul Lederer previously ran the Primo Smallgoods empire which he sold to a private equity group in 2015 for $1.4B and earlier this year sold their real estate holdings to Charter Hall for $179M . Since then Lederer acquired 11 Moore Street Canberra for $44M and in June held an 8.8% stake Centuria worth $55M. The Corimal acquisition joins Paul's stable of retail holdings including Imperial Centre, Gosford, Parkside Village, Miranda, Richmond Mall, Goulburn Marketplace and Cesnock Plaza.
There were a number of other deals this week. Scroll through the list below or head to Propel for further details.
* indicates unconfirmed price