Deals of the Week: 7 December 2018

Deals of the Week: 7 December 2018

PERTH: Property fund manager EG has snapped up a two-level office building in Leederville, Perth, for $12.5 million as it strengthens its West Australian portfolio. The 3181sq m building at 40 Frame Court, which traded on a net passing yield of 4.25 per cent, is leased to the Water Corporation of Western Australia.—AFR.

NATIONAL: ASX-listed Centuria Industrial REIT has unveiled a $51 million equity raising to buy two industrial assets, one in Archerfield, Brisbane, and the other in Hazelmere, Perth, for a total of $54.4m. The properties are fully occupied by ASX-listed tenants with strong potential for renewal and both are major parcels offering a chance for expansion.—The Australian.

NATIONAL: Charter Hall Long WALE REIT will buy a portfolio of chicken farms leased to ASX-listed Inghams, the country’s largest poultry producer, in a $207 million deal. The real estate itself is owned by US-listed property trust W.P. Carey. The portfolio comprises 27 properties, including hatcheries, feed mills and breeder farms.—AFR.

SYDNEY: Real estate investment manager Ashe Morgan is buying AMP Capital’s Crossroads Homemaker Centre in south-west Sydney for $140 million in a deal that reflects confidence in the long-term growth of western Sydney. Homemaker Centres are key bellwethers for household expenditure and the housing market, so the investment is considered a counter-cyclical play.—AFR.

SYDNEY: Property fund manager Charter Hall has invested $35 million on behalf of two funds to acquire a six-hectare site in Sydney’s west to develop a logistics hub. The centre, to be named Compass Logistics Estate, will form part of the Sydney western growth corridor, with the state government pledging $72.7 billion of infrastructure throughout the next four years, including $16.8 billion on the WestConnex tunnel project and $5.3 billion on the Western Sydney Airport.—AFR.

MELBOURNE: Developer turned publisher Morry Schwartz has sold a high-exposure Melbourne CBD retail property for $21.55 million via a successful portfolio auction which saw six of seven offerings change hands. The combined sale represents the largest strata portfolio transaction in the city’s history. The IGA supermarket at 620 Collins Street stands on the corner with Spencer Street opposite Southern Cross station, one of the city’s busiest intersections for pedestrians. It sold on a yield of 4.13 per cent.—AFR.