Link REIT makes $1.5b bid for Lendlease mall fund: reports
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The news: Lendlease has received an unsolicited offer for half-stakes in three shopping centres in its $2.8 billion Australian Prime Property Fund Retail by Hong Kong investor Link REIT.
The numbers: Sources told The Australian that the proposal for around $1.5 billion of Lendlease’s shopping centre assets covers the 50% interests in shopping centres across NSW, Queensland and Western Australia that the fund owns.
The context: Lendlease’s fund is already selling down assets and is expected to use the proceeds from the sale of the Erina Fair shopping centre for $895 million last month to pay out upcoming redemption requests from investors.
The offer from Link REIT, which at HKD108 billion ($21.3 billion), is one of the largest listed real estate investment trusts (REITs) in Asia, involves three of four remaining assets in the Lendlease fund; Sunshine Plaza in QLD, Macarthur Square in NSW and Lakeside Joondalup in WA.
Sources told the Australian that should the deal come to fruition, it could unleash concurrent auctions as rights held by the malls’ co-owners could be triggered.
The sources: The Australian, AFR
