The GPT Group and the Perron Group today announce the establishment of a new retail partnership. GPT will acquire from Perron a 50% interest in two premium Perth retail assets, Cockburn Gateway and Belmont Forum, for approximately $482 million.
The two shopping centres offer approximately 119,000m2 of gross lettable area (GLA) and boast a combined moving annual turnover (MAT) of almost $1.1 billion, attracting more than 16 million visitors annually.
Belmont Forum was recently crowned No. 1 in SCN‘s Little Guns with an MAT of $480.7 million, while Cockburn Gateway ranks first in Western Australia for MAT/m2 in Big Guns.
Cockburn Gateway is a dominant regional centre which holds significant development potential. In late 2021, a $1.08 billion expansion plan, known as the Cockburn Quarter development, was approved by the Western Australian Planning Commission. The proposed mixed-use project, which is expected to be delivered over four key stages over the next 20 years includes residential, commercial, retail, entertainment and childcare centre.
Perron Group Chief Executive Officer Adam Irving said the company was delighted to have successfully concluded negotiations over the sale of the half-share stake in both properties.
“We identified GPT as an ideal partner for both Cockburn Gateway and Belmont Forum because of its industry leading experience in both retail and mixed-use developments, as this will be crucial to maximising the value of the assets over time.
“This transaction also aligns with the evolution of Perron Group’s broader strategic objectives as a permanent endowment to support the work of the Stan Perron Charitable Foundation.”
GPT’s Chief Executive Officer and Managing Director, Russell Proutt said, “This is an exciting partnership which further expands our $14 billion portfolio of retail assets with two centres that are top performing in their respective trade areas and extremely well positioned, in catchments with strong population growth and favourable demographics.
“Our investment is consistent with GPT’s strategy to build and diversify the Group’s management platform, in alignment with like-minded investment partners. This acquisition will leverage the Group’s outstanding retail operational capability to drive asset performance and pursue compelling development opportunities,” said Proutt.
Lachlan MacGillivray, Colliers Managing Director of Retail Capital Markets, Asia Pacific, said, “This landmark transaction underscores the increasing demand for capital partnering opportunities, particularly coupled with demand for high-quality retail assets in prime locations that have strong engagement with the local community. This is the largest retail portfolio capital partnering deal struck since the Pacific Portfolio transacted in 2018, we expect further strategic capital partnering activities to accelerate over 2025 and beyond.”
Completion of the transaction is expected in February 2025. Management of the centres will transfer to GPT.
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