Australian retail property firm Vicinity Centres has plans for the sale of up to A$1 billion ($760 million) of subregional and neighborhood shopping centers, with sale proceeds to be reinvested into value-accretive development opportunities. This continues Vicinity’s focus on ongoing portfolio enhancement and delivering superior income and sustainable long-term capital growth for security holders.
“Since the merger in 2015, we have sold A$1.9 billion [$1.45 billion] of assets at a 2.1 percent premium to book value,” said Grant Kelley, CEO and managing director. “These proceeds were used to reduce debt and then reinvested over time into substantially higher returning asset acquisitions and developments, creating significant security holder value and improving portfolio specialty sales productivity by 22 percent to A$10,243 per square meter [$7,829 per square foot].”
The proceeds from the divestments will be reinvested into transformative developments, includin
