Singapore fund divests Wollongong mall
Singapore listed Paragon REIT and MA Financial have divested a regional shopping centre for a touch over book value but less than they outlaid six years ago.
Figtree Grove, about three kilometres west of Wollongong, found favour with Fawkner Property for $192 million following a public campaign launched August.
The pair paid Blackstone $206m with Paragon – then known as SPH REIT – holding an 85 per cent stake ($175.1m).
The disposal price is 4.9pc over book value but less than the ($200m-plus) guide upon listing; JLL’s Nick Willis and Sam Hatcher were the agents.
The deal comes seven months since Melbourne based Fawkner paid $103m (against a $111m book value) for Stockland Nowra, about 80 kilometres south of Wollongong.
Figtree Grove
On 5.14 hectares at 19 Figtree Highway, Figtree, Fawkner’s latest asset contains 21,873 square metres anchored to Coles, Woolworths and Kmart, the latter which trades 24 hours (story continues below).
There are also two mini-majors, 71 specialty stores, eight kiosks and an ATM; occupancy is nearly 100pc.
On the south east corner of The Avenue, the site is configured with three pad sites and 940 car parks too.
Paragon REIT is sponsored by Cuscaden Peak Investments, backed by Ong Bee Seng’s Hotel Properties Limited, CLA Real Estate Holdings and Mapletree.
It estimates the Figtree Grove exit yield circles 5.5pc.
Elsewhere in Australia, the trust has held a half stake in the Westfield Marion Shopping Centre in Oaklands Park – Adelaide’s largest shopping centre with 136,837 sqm on 22.9ha – since 2019.
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