QIC has sold a 100 per cent stake in Queensland’s Hyperdome shopping centre to MA Financial for $678.7 million.
Located 25km south of the Brisbane CBD, Hyperdome is the largest shopping centre in the fast-growing Logan City.
The 44ha site is now 98 per cent leased and delivering record trading performance, anchored by a non-discretionary triple supermarket offering – Coles, Woolworths and Aldi.
The deal also includes Hyperdome Home Centre and adjacent landholdings. QIC first bought a 50 per cent interest in Hyperdome in 1996 and took full ownership in 2013.
Given the 29-year history with the asset, QIC will be retained to assist in managing the property. Upon settlement, expected next month, MA Financial will take full responsibility for the centre’s management.
QIC director of real estate funds management Declan Walsh said the sale marked a pleasing outcome in realising value for investors.
“This divestment underscores QIC’s ability to drive long-term performance and execute successful transactions in line with client-endorsed strategies,” Walsh said.
According to MA Financial, the centre will be held in a single-asset high net worth syndicate fund that has closed early and is fully subscribed with $405 million of equity.
The fund will target an average 9 per cent distribution yield and total returns of 16-18 per cent per annum over its forecast five-year term.
Chris Lock, head of core real estate at MA Financial, said the transaction reinforces the company’s growing presence in large-scale retail real estate.
“This exceptionally rare acquisition builds on our recently announced acquisition of Top Ryde City Shopping Centre, alongside Keppel REIT, and underlines the strength of MA Financial’s fully integrated real estate platform across investment, distribution and operating capabilities,” Lock added.
CBRE’s head of retail capital markets – Pacific, Simon Rooney, managed the off-market deal.
Add comment