Singapore investment house AIMS Financial Group, which manages the AIMS APAC REIT – also known as AA REIT – is understood to be outlaying more than $450 million for Woolworths’ headquarters.
The deal for 1 Woolworths Way is a windfall for South Korea’s Inmark Asset Management which paid Mirvac $336.45m five years ago.
Earlier this month the listed AA REIT raised c$252m to fund new acquisitions; it also holds industrial, residential and retail product.
The speculated Bella Vista deal value would surpass the national record price paid for a suburban office – set in June, 2019, with the $438.2m trading of Chatswood’s Zenith Centre.
Starwood Capital and Arrow Capital Partners bought that asset.
Also that year, Parramatta’s Jessie Street Centre sold for $415m; Charter Hall, backed by GIC, was that purchaser.
Woolworths Bella Vista
Centuria, Charter Hall and Growthpoint are also believed to have contested for the Bella Vista investment (story continues below).
The sale price would reflect a circa-five per cent capitalisation rate.
On nine hectares with 3000 car parks, the asset contains 44,911 square metre of lettable area within three connected buildings.
As well as offices, there is a Woolworths Metro supermarket, gym and data centre.
The tenant’s lease agreement allows for annual rent rises of 2.75pc.
The Weighted Average Lease Expiry was 10.4 years when the property was listed in June.
AA REIT holds a portfolio worth c1.8 billion, including, in Australia, a 49pc stake in Macquarie Park’s Optus Centre.
In May, 2019 it paid c$40m for Boardriders’ Burleigh Heads HQ.
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