Print this page

Redefine Properties ups holdings in Australian property group

Posted On Wednesday, 29 May 2013 17:14 Published by Commercial Property News
Rate this item
(0 votes)

Redefine Properties seized the opportunity to increase its direct holding in Australian listed Cromwell Property Group this week by taking up Aus$65.6 million of Cromwell’s capital raise, which will partly fund Cromwell’s successful acquisition of a portfolio of government properties

Marc WainerMarc Wainer, CEO of Redefine, says: “It’s our stated intention to deepen our presence in Australia. This take up of capital grows Redefine’s interest in Cromwell from 10% to 12,5%.”

Cromwell has acquired an Aus$405 million portfolio of seven office properties from the New South Wales government in Australia. It raised Aus$250 million in capital to fund a portion of the transaction.

Three of the properties acquired are in Sydney CBD, including the A-grade Symantec House and B-grade McKell Building and Bligh House.

The remaining four buildings are all regional assets in NSW. The acquisition boosts Cromwell’s investment property portfolio to around Aus$2.3 billion.

“This attractive portfolio includes five properties that have 15-year leases with the New South Wales government. Of the remaining two, one has a five-year lease in place and the other is a multitenant building. Properties of this quality are achieving a 9% yield in Australia. This highlights how expensive comparable properties are becoming in South Africa,” adds Wainer.

Last modified on Wednesday, 29 May 2013 17:41

Related items