Stakes in three of Sydney’s most high-profile shopping centres are up for grabs after it was revealed major Singaporean investor GIC expects to net more than $550 million for its half-stake in the properties.
The retail properties put into play are Sydney’s Queen Victoria Building, The Galeries and the Strand Arcade.
CE retailers such as JB Hi-Fi and Shaver Shop rent stores in the Galeries.
According to The Australian, the sale will be a major test for the recovery of CBD retail centres as city workers slowly return to offices.
The asset value of the retail centres is in recovery mode after coronavirus bled it dry – but it seems luxury retailers are now ready to re-venture back into the CBD retail market.
Sovereign wealth fund GIC is reportedly relying on the prestige and rarity of the properties to draw local and global buyers.
It wouldn’t be the first time a big fund group paid megabucks for a half-stake in a retail centre.
In 2016, ISPT acquired a half interest in Sydney’s World Square Shopping Centre for more than $280 million.
