Property Development

Sunland Offloads Retail Asset for $20m

EG Sells Northwest Plaza for $42.5m
Written by The ReReport
As seen in the Source link, written by on 2019-06-27 15:44:09

As weakening retail conditions hit the diversified portfolios of some of Australia’s largest listed companies, many have looked to avoid headwinds and redistribute funds into different asset classes.

Australia’s major retail investors and REITs continue to lessen their exposure to the sector — pursuing operational improvements to retail assets and improving portfolio quality by offloading non-core retail assets.

Stockland divested $284.5 million retail assets over the last 12 months, as it shifts focus to non-discretionary retail and “remixes” its retail convenience offering. The listed developer recently sold Cleveland Shopping Centre in outer Brisbane to syndicator Haben for $103 million.

Charter Hall Retail REIT and Telstra Super have stepped up their sell-off of in retail assets, putting the Great Western Super Centre in inner-northwest Brisbane on the block for about $90 million.

Vicinity Centres has also been refining its portfolio to focus on larger, destination centres by divesting smaller malls. So far Vicinity has sold down $2.7 billion of retail assets and has another $1.2 billion poised for divestment.