Cromwell sells Further 50% of Northpoint Tower
Fresh after raising capital, Cromwell have also announced the sale of the balance of the Northpoint Tower to Early Light International for $300m, matching their earlier transaction to the same group in August 2018.
Early Light's acquisition equates to a yield of 4.73% and a capital value of $20,203/sqm. The sale is subject to FIRB approval and is expected to settle in mid-September 2019.
Cromwell spent $130M on the refurbishment of the 29,698sqm building over the last few years with a new food court, lobby and facade.
Cromwell & Redfine paid just $278M for 100% of the asset in 2013 and upon the completion of the final 50% sale, will reap $600m from in sale proceeds and a capital gain of circa $192m.
Cromwell’s will use its 50% of the proceeds to add to its recent $375 million capital raising and new three-year €225 million syndicated facility to provide certainty of funding for over $1.0 billion of acquisition opportunities that are in either exclusive due diligence or advanced negotiations as well as over $1.0 billion of value-add development opportunities.