Weekly Transaction Update – 5th May

5 May 2017

Two portfolio deals capped off the week last week with a total of $432M of property changing hands. The first portfolio deal was Ingenia’s purchase of 5 residential lifestyle villages worth $79M in QLD and the mid north coast of NSW. Ingenia announced these acquisitions as part of a capital raising process on Thursday. Also this week, Charter Hall announced the purchase of the Lederer portfolio of small goods processing factories tenanted by Primo for $179M. The portfolio has a WALE of 10.5 years and traded at a 6.5% yield. Also announced this week was the sale by Cromwell Group of 160 Mary Street Brisbane for $70.0M. The site contains two B grade Buildings with an unusual 3-level bridge connecting the buildings at Level 10. Both buildings were leased by the State Government and are likely to be vacated shortly following the completion of 1 William Street. Cromwell acquired the site in 2013 and obtained a DA to convert the buildings to Student Accommodation. The sale announced this week to Ashe Morgan at $70M is unlikely to have provided a great deal of profit to Cromwell. It is unclear whether Ashe Morgan will continue to pursue the student accommodation proposal or retain the current uses. With a capital value of $2,625/sqm, Ashe Morgan may well refurbish the existing properties and offer them for lease. Scroll through the list below or head to Propel for further details.