South African fund acquires Australian properties
A property fund managed by South African investment bank Investec has bought two suburban Sydney office properties from The Blackstone Group for A$160 million ($121 million). The Investec fund, listed on the Johannesburg Stock Exchange, bought North Ryde and Frenchs Forest for A$85 million ($64 million) and A$75 million ($57 million), respectively, reflecting yields of 7 percent and 7.5 percent. The deal is expected to close March 6. The North Ryde Property, built in 2004, includes 162,000 square feet of office space. The Frenchs Forest property includes two separate buildings of 133,000 square feet, including 35,000 square feet of office space and 43,000 square feet of warehouse space.