Cbus grows shopping centre portfolio for $1.3bn

Cbus has snatched up stakes in two major shopping centres from Lendlease for $1.3 billion.

Lendlease's Australian Prime Property Fund Retail (APPF Retail) offloaded its 50% stakes in Lakeside Joondalup in Perth and Westfield Carindale in Brisbane to Cbus Property.

APPF Retail, a wholesale unlisted property trust established in 1989, invests predominantly in prime direct retail properties across Australia with an institutional client base. Its operations involve the acquisition, management, leasing, administration and disposal of retail real estate assets.

Cbus Property chief executive Chris Kakoufas said: "The acquisition of 50% interests in Lakeside Joondalup and Westfield Carindale represents a significant expansion of Cbus Property's premium flagship retail portfolio, adding two high-quality assets in prime locations."

Kakoufas noted the acquisition extends the super fund's retail portfolio into the Brisbane and Perth markets.

"Our ownership of some of Australia's leading super regional retail destinations will provide resilient income and, in turn, long-term returns for Cbus Super members. We also see significant opportunities for long-term precinct evolution, underpinned by the centres' important roles in their local communities," he said.

Vanessa Orth, managing director at Lendlease Investment Management Australia, said the transaction "represents a successful outcome for APPF Retail's liquidity program, achieving a positive result for investors and returning capital through a well-executed and timely process."

In May, Australian Prime Property Fund Commercial (APPF Commercial), announced it would offload its stake in a Sydney office precinct to Charter Hall.

A series of transactions relate to the Spring and O'Connell Street precinct in Sydney's CBD.

The first transaction includes the completed exchange of contracts on 19 O'Connell Street and strata lots within 23 O'Connell Street. Charter Hall also accepted a pre-emptive offer for the remaining interests in 1 O'Connell Street, 8, 10, 16 Spring Street and the remaining strata lots in 23 O'Connell Street.

"The overall transaction represents a strong outcome for both parties, aligning with APPF Commercial's portfolio strategy of prime assets and capital recycling objectives, while enabling Charter Hall to expand its exposure to quality, well-located Sydney office assets," Charter Hall said.