Sydney’s property market has had it tough over the past few years Picture: Brad Hunter Source: The Daily Telegraph
SUPERANNUATION fund-backed Industry Superannuation Property Trust has rounded out a big week by securing about $300 million of property from a Colonial First State fund that is being wound up.
The $8.9 billion property group has been chosen to buy PPS fund’s stake in 135 King Street and the Glasshouse in the Sydney CBD for about $140m.
It also has finalised a deal to buy Bendigo Marketplace, a sub-regional shopping centre in Victoria, for about $160m.
Simon Rooney of Jones Lang LaSalle handled the sale of the Victorian centre.
JLL’s retail and office teams and Colliers International handled 135 King Street and the Glasshouse. The deals come in the wake of ISPT selling 447 Collins Street – considered one of Melbourne’s best development sites – to Cbus Property for $91m. The structured deal gives ISPT the right to buy back into the $1bn development.
“We’ve been in the market constantly looking for opportunities,” ISPT chief executive Daryl Browning said. “They fit with the fund’s stratagies.”
Mr Browning said that given the position of the market cycle, the group had decided to trade out of Collins Street and invest in income-producing assets.
With the PPS fund being wound up, ISPT had seen an opportunity to access retail property and a well-located office tower, he said.
The Sydney purchase is subject to co-owner Stockland’s pre-emptive rights.
Source: The Australian
