GPT Group buys $482m stake in Perron Group shopping centres
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The news: Property investor GPT Group has announced a new retail partnership with Perth-based Perron Group, which will see GPT acquire a 50% interest in two of Perron's shopping centres for around $482 million.
The numbers: GPT said the Cockburn Gateway and Belmont Forum shopping centres offer 119,000 square metres of gross lettable area and a combined moving annual turnover of more than $1 billion.
Development approval has been secured for a 20-year transformation project at Cockburn Gateway, with the first stage of the project potentially boosting the asset by 20,000 square metres in incremental retail in the near term.
The context: Completion of the transaction is expected in February 2025.
What they said: "This is an exciting partnership which further expands our $14 billion portfolio of retail assets with two centres that are top performing in their respective trade areas and extremely well positioned, in catchments with strong population growth and favourable demographics," said GPT's CEO and managing director Russell Prout.
"This acquisition will leverage the group's outstanding retail operational capability to drive asset performance and pursue compelling development opportunities."
Perron's chief executive Adam Irving said: "We identified GPT as an ideal partner for both Cockburn Gateway and Belmont Forum because of its industry leading experience in both retail and mixed-used developments, as this will be crucial to maximising the value of the assets over time".
The source: ASX announcement
