Deals of the Week - 6th November 2023

New South Wales

CHATSWOOD - $307 million

After offloading its 49% stake in the Chatswood Chase shopping centre for $562 million six years ago, Vicinity Centres has bought back its stake for $307 million, now holding complete ownership of the centre. 

Vicinity has indicated it has plans for a $620 million makeover of the shopping centre, adding ground-level dining and fresh food courts while establishing an 'office village' on the rooftop.

NORTH RYDE & PARAMATTA - $109 million 

CapitaLand Ascott Trust (CLAS), a Singaporean-based fund, has offloaded two hotels in Sydney, The Courtyard by Marriot in North Ryde and the Novotel Paramatta. 

Purchased by Silversea Investment at a 5% premium to its October book value, the final price reflected a 4.4% exit yield. The sale of the two assets forms a part of CLAS' 'active portfolio reconstruction' strategy, with the fund focusing on assets that offer greater yields and uplift the value of their portfolio.

Both deals were handled by CBRE's Michael Simpson and Vasso Zographou.

Victoria 

ROXBURGH PARK - $123 million 

Before purchasing back Chatswood Chase, Vicinity Centres offloaded a 50% stake in Roxburgh Village earlier this week, in an off-market deal handled by CBRE's Simon Rooney and James Douglas. 

Purchased by Hong Kong-based investment firm, JY Group, the purchase of Roxburgh Village takes their Australian assets under management to over $2 billion. The final sale price reflected a passing yield of 7.25%, with a fully leased yield of 7.74%. 

DONVALE - $12 million

An 18,224 sqm vacant aged care home was purchased by an international investor, who plans to refurbish and open the facility. 

The asset located at 296-303 Springvale Road was sold by Melbourne-based property investor Region Amber, with the deal handled by CBRE's Marcello Caspani-Muti, Sandro Peluso and Jimmy Tat.

Western Australia

MARGERET RIVER & PEMBERTON - $22 million 

Ethical investment fund manager, Warakirri, has acquired two established wineries on a 15-year leaseback with Margeret River Wine Production Pty Ltd, taking their assets under management to $140 million. 

The assets, known as the 'Amadeus Vineyard' and 'Smithbrook Estate' are in the prime Margaret River and Pemberton regions, respectively, and build on Warakirri's existing investment profile that largely consists of agri-infrastructure assets.

Queensland 

MCKAY - Speculated Circa $12 million 

The freehold going concern interest in one of Mackay’s leading accommodation offerings, Coral Cay Mackay, has been sold to a private Queensland-based hotel group.

The hotel was purchased from Pacific Hotels, a Perth-based hotel owner-operator.

CBRE Hotels’ Wayne Bunz and Hayley Manvell negotiated the sale after a campaign that fielded strong enquiry from owner-operators, hotel investment funds and high net-worth individuals.