The Urban Developer
AdvertiseEventsWebinarsUrbanity
Industry Excellence
Urban Leader
Sign In
Membership
Latest
Menu
Location
Sector
Category
Content
Type
Newsletters
Urban Leader Awards Logos RGB White
NOMINATIONS CLOSE IN ONE WEEK RECOGNISING THE PEOPLE BEHIND THE PROJECTS
NOMINATIONS CLOSING NEXT WEEK URBAN LEADER AWARDS
LEARN MOREDETAILS
TheUrbanDeveloper
Follow
About
About Us
Membership
Awards
Events
Webinars
Listings
Resources
Terms & Conditions
Commenting Policy
Privacy Policy
Republishing Guidelines
Editorial Charter
Complaints Handling Policy
Contact
General Enquiries
Advertise
Contribution Enquiry
Project Submission
Membership Enquiry
Newsletter
Stay up to date and with the latest news, projects, deals and features.
Subscribe
ADVERTISEMENT
SHARE
2
print
Print
RetailDinah Lewis BoucherWed 19 Jun 19

GPT Seek $800m for Sydney CBD Buy

bc81b875-8a98-4576-a296-5d1305e366bc

Diversified property group GPT is seeking $800 million in capital to invest in premium office towers in Sydney’s Darling Harbour along with plans to strengthen its logistics portfolio.

GPT's equity raise is for the purchase of a 25 per cent stake in the Darling Park 1&2 office complex and Cockle Bay Wharf complex worth $531 million.

The group plans to secure the Darling Park asset through its wholesale fund’s preemptive right, subject to consent of Property New South Wales.

Following completion of the purchase, GPT and GPT Wholesale Office Fund (GWOF) will hold a combined 75 per cent interest in the Sydney CBD assets. The Darling Park acquisition will also see GPT secure a 25 per cent interest in the proposed Cockle Bay development which has stage one planning approval.

UBS and Macquarie Capital have been hired to secure GPT’s $800 million fully underwritten placement.

Under the placement, shares are being sold at a fixed issue price of $6.07 per security, representing a 4.1 per cent discount to GPT's closing price on 18 June.

Darling Park 1 & 2, the 27-level office towers.


GPT chief executive Bob Johnston said the acquisition enhances the group’s exposure to Sydney’s strong office market via modern, high quality assets.

“And access to future growth through the Cockle Bay Park development,” he said.

The asset offers 103,600sq m of net lettable area across two 27-level office towers, providing premium office accommodation.

Cockle Bay Wharf offers 8,151sq m of dining and retail space, while plans for its development feature 63,000sq m of premium office accommodation and 10,000sq m of retail and entertainment space.

Johnston said the proceeds will also be applied to funding the next stage of growth from the Group’s development pipeline across the office and logistics sectors, while also “maintaining a very strong balance sheet position”.

GPT’s large equity push is the latest move in the listed property sector, and comes after the $900 million raise by Dexus and Mirvac’s $750 million placement for its development.

In its latest announcement GPT said approximately 71 per cent of the portfolio is being independently valued in the six months to June 30.

“The revaluations are expected to result in a net revaluation gain of approximately $102 million, or 0.7 per cent, with a weighted average capitalisation rate of 4.99 per cent.”

GPT currently has a $33 million development in Melbourne’s Truganina, and two facilities under way worth a total of $69 million in Brisbane’s Wembley Business Park.

RetailOfficeAustraliado not useReal EstateSector
AUTHOR
Dinah Lewis Boucher
More articles by this author
ADVERTISEMENT
TOP STORIES
Exclusive

Green Premium, Brown Discount: New ESG Regulations Drive Value

Patrick Lau
8 Min
Exclusive

Arup Targets Podium Finish for Brisbane CBD Headquarters

Taryn Paris
6 Min
Exclusive

No Cookie Cutters: Finding Feasibility in HAFF Projects

Patrick Lau
6 Min
Exclusive

Brisbane Transaction Activity Steams Ahead for A-Grade Residential

Taryn Paris
5 Min
Exclusive

Starchitect Ivan Harbour on the Power of Small Spaces

Taryn Paris
6 Min
View All >
Exclusive

Green Premium, Brown Discount: New ESG Regulations Drive Value

Patrick Lau
Mirvac is launching its Everdene, Mulgoa community for 1200 homes with lots ranging from 200sq m small lots to 2000sq m rural lots this month.
Residential

Mirvac Takes Covers Off $1.2bn Western Sydney Masterplan

Renee McKeown
Sponsored

What a 4.5-Star iCIRT Means for Modern Construction

Partner Content
Sydney-based Binah has improved it iCIRT—here’s why that matters to the construction firm, its clients and the industry.…
LATEST
Exclusive

Green Premium, Brown Discount: New ESG Regulations Drive Value

Patrick Lau
8 Min
Mirvac is launching its Everdene, Mulgoa community for 1200 homes with lots ranging from 200sq m small lots to 2000sq m rural lots this month.
Residential

Mirvac Takes Covers Off $1.2bn Western Sydney Masterplan

Renee McKeown
2 Min
Construction

What a 4.5-Star iCIRT Means for Modern Construction

Partner Content
3 Min
Canberra Tradesmen's Union Club rendering
Residential

Canberra ‘Tradies’ Club Puts Forward 645-Unit Precinct

Leon Della Bosca
3 Min
View All >
ADVERTISEMENT
Article originally posted at: https://www.theurbandeveloper.com/articles/gpt-group-seek-to-raise-800-million-for-sydney-cbd-buy