GPT: Unwinds Joint Venture Arrangement at Penrith Plaza
Document date:
Tue 01 Oct 2002
Published:
Tue 01 Oct 2002 00:00:00
Document No:
276408
Document part:
A
Market Flag:
N
Classification:
GENERAL PROPERTY TRUST 2002-10-01 ASX-SIGNAL-G HOMEX - Sydney +++++++++++++++++++++++++ GPT Management Limited, as responsible entity of General Property Trust, today announced that it had finalised the process of terminating the ground lease at Penrith Plaza Shopping Centre. This has resulted in the existing Joint Venture Investment Arrangement (JVIA) with ANZ Banking Group being dissolved as anticipated under the terms of that arrangement, giving GPT full entitlement to all future income from the Centre. In accordance with the terms of the JVIA, GPT has made a capital payment to ANZ. The payment is based on a formula that takes into account the valuation of the Centre at termination less the deposits that GPT has paid to ANZ since entering into the JVIA. In addition GPT will make a payment relating to the operating equipment which is the subject of equipment leases from a syndicate of three financiers. The total capital outlay will be approximately $120 million. The Year 1 yield on these payments is anticipated to be 9.5%. Mr Michael O'Brien, Fund Manager for GPT, said he was pleased with the result. "Penrith Plaza is GPT's strongest performing retail centre, with specialty sales per square metre of $9,649 at June this year." "GPT's investors will now benefit by receiving the full income from the Centre and from the opportunity to redevelop the Centre to capitalise on future growth." For further information please contact: Michael O'Brien Mark Fookes Fund Manager General Manager Retail Investment (02) 9236 6235 (02) 9237 5664 0417 691 028 0412 279 833