WESTFIELD GROUP TO SELL INTEREST IN CAIRNS CENTRAL FOR $261 MILLION
24 October 2011
Westfield Group (ASX: WDC) today announced the sale of its 50% interest in Cairns Central, Queensland to Australian Prime Property Fund (APPF).
The sale price of $261 million for WDC’s non-managed interest represents a 15.7% premium to the current book value of $225.6 million and a capitalisation rate of 5.2% on passing income.
WDC purchased its interest in the centre in October 2006 for $160 million. Today’s transaction will result in WDC achieving an unlevered internal rate of return of 15.2% on its investment in Cairns Central.
The sale is expected to close on 31 October 2011.
The Westfield Group (ASX Code: WDC) is an internally managed, vertically integrated, shopping centre group undertaking ownership, development, design, construction, funds/asset management, property management, leasing and marketing activities and employing over 4,000 staff worldwide. The Westfield Group has interests in and operates one of the world’s largest shopping centre portfolios with investment interests in 124 shopping centres across Australia, the United States, the United Kingdom, New Zealand and Brazil , encompassing around 25,000 retail outlets and total assets under management of A$59.6 billion.
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