Weekly Transaction Update – 6th April

6 April 2018

This week we recorded 29 major transactions worth $2.0bn The largest deal this week was by REST Super who acquired a one third interest in AMP Capital’s Quay Quarter tower. The 50 story, 97,000sqm tower has AMP as it’s only pre-commitment at this stage taking 36,500sqm. The sale at $900M was priced on the same metrics as AMP Capital’s acquisition last year of Wynyard Place development from Brookfield at 4.75%. Both deals were likely to include extensive rental guarantees over the unleased space. AMP announced that Multiplex will build the tower after Lend Lease advised that the project would cost an additional $70M due to the risk to be taken building around the existing structure. In another Sydney deal, Fife Capital announced a 75% sale of the commercial component to their 383 George Street development to PGIM Real Estate for $200M. The commercial space on the lower 8 levels was recently leased to WeWork whilst the tower comprises residential apartments which are all previously been sold off the plan. Qualitas also announced their acquisition of the Allied Pinnacle flour mills portfolio which was sold for circa $400M on a sale and 30 year lease back arrangement. Pacific Equity Partners, acquired Allied Mills last year and have clearly seen the benefit to splitting the balance sheet assets from the operations business, paying away a 6% rental yield. Scroll through the list below or head to RE-Intel for further details. * indicates unconfirmed price or apportionment of a portfolio sale