Weekly Transaction Update - 1st December
This week we recorded $1.0bn of transactions across 8 different deals.
The largest deal this week was the acquisition by AMP Capital of 50% of Indooroopilly Shopping Centre. This deal has been speculated for several months and now finally exchanged. AMP's Diversified Fund will pick up 25% and its Shopping Centre Fund 25% each paying $400M on a yield of 4.25%. This deal comes in a close second in terms of value to AMP Capital's purchase last month of a 50% interest in Wynyard Place and is easily the largest Shopping Centre transaction since 2015.
Also announced this week was Sentinel Property Group sale of another of its assets, an industrial facility in Banyo QLD. The property was acquired by Fife Capital for $36.5M. Sentinel has now disposed of 5 retail assets and 1 industrial asset since June for a total of $150M and also acquired 2 commercial and 1 industrial asset for a total of $107M.
Ashe Morgan and Dmann Corporation have sold 31 Duncan Street for $64M to Earl Larmar, reflecting a 6.6% yield. Earl Larmar, a well known Brisbane accountant for HNW, recently sold out of 199 Grey Street for $92.6M
Developers are scrambling for land in Macquarie Park as witnessed by another strong deal this week by Echo World International, acquiring a 2,826sqm site for $40m.
This year, a total of $555M has been spent by various groups acquiring sites in Macquarie Park. As shown in the map, most of the attention is in Cottonwood Crescent and Lachlan Avenue where whole 3 storey walk up residential strata properties are being consolidated to make way for new 20 storey apartment towers. Another large offering of 2.3ha and backing on to that precinct is at 4-6 Byfield Street. Romeciti are expected to acquire this site for $350M. The site is suitable for rezoning to residential and will yield over 1,500 apartments. Romeciti have acquired the nearby 82 Waterloo Rd for $120M. Also active in this area are Vision Investment Group. The whole precinct is likely to see some 8,000 - 10,000 apartments being built over the next 10 years.
There were a number of other deals this week. Scroll through the list below or head to RE-Intel for further details.
* indicates unconfirmed price