Deals of the Week: 24 November 2017

Deals of the Week: 24 November 2017

24 November 2017

AUSTRALASIA: Wesfarmers-owned Bunnings has sold a portfolio of four properties for more than $180 million to CBRE Global Investors for one of the sharpest yields yet seen for such assets. The overall yield for the portfolio—covering sites in Sydney, Adelaide and New Zealand—was struck in the low 5 per cent range — AFR.

EAST COAST: Singapore-based TrustCapital Advisors (TCA) has sold five office assets along Australia’s eastern seaboard totalling $727.55 million. The properties include a 11,011sqm tower in Brisbane, which sold to Australian Unity for $105.75 million; a 9,873 sqm B-grade asset in Sydney was purchased by AEW for $165 million; a 19,864 sqm tower at 469 in Melbourne sold to an AMP Capital Separate Account Client for $160.5 million; and a 17,337sqm A-grade building in Melbourne’s Docklands and a 16,152sqm multi-let, recently refurbished office tower in Melbourne CBD’s western core, which sold to PA Realty (a joint venture between MEC and CLSA Real Estate) for $156.1 million and $140.2 million respectively — CBRE.

MELBOURNE: Dexus is developing a $25 million state-of-the-art logistics centre for food producer Simplot Australia, the latest in a series of major leasing deals at its industrial estate in Melbourne’s west. The 20,725-square-metre facility is being developed at the Dexus Industrial Estate in Truganina under a seven-year lease agreement with Simplot. Construction is already underway and the facility is due for completion in March, 2018 — AFR.

MELBOURNE: China-backed early learning centre operator Botree Group has outlaid $60 million for a Fishermans Bend development site with approval for 1,004 apartments on the fringe of the Melbourne CBD. However, the developer claims it will develop a landmark early learning centre and related services on the site — AFR.

MELBOURNE: After a two-year battle legal battle, Tim Gurner can finally start selling apartments in his $35 million Spanish Club redevelopment in Melbourne’s Fitzroy. The Victorian Civil and Administrative Tribunal developer gave the developer a permit after the Supreme Court ordered the tribunal to rehear the application it had previously rejected. The permit for the seven-level development is a win for the high-profile developer, who had already cut the proposed building size from 16 levels — AFR.

MELBOURNE: Singapore’s Tong Eng Group has purchased a seven-level office on Melbourne’s premier leafy boulevard St Kilda Road from the Myer family for close to $77 million. Struck on a 4.66 per cent passing yield, the deal sets a new benchmark for the boulevard, just as activity in Melbourne’s commercial property sector ramps up ahead of the year’s close — SMH.