I am trying to obtain a list of all 17 properties to see if we can do some more analysis on this. They are not currently appearing on the NAI for-sale list as individual sales. There is a chance of course that they could be sold as a whole portfolio.
On the assumption that the US newspaper report is correct (which is yet to be verified), there are a few points here:
1. These could just be assets in the 'disposal pool' which all REITs, including Centro, have in their normal course of business. Either way, $90m is $90m.
2. Three of the four properties mentioned are owned by CER and look to be ex-Gallileo. The other (Harwood) is owned by CNP as part of SuperLLC. If the other 13 properties are owned in the same proportion, it'll be good news for CER. Details of all properties are contained in the additional disclosures from CER and CNP as part of the 1/2 year report.
3. It is becoming obvious there really is no rush in the disposal of assets. The Centro problems came to light last December, which was 7.5 months ago. If these are just coming to market, contracts may not be finalised for another 2-3 months.
4. When looking at transactions like this, it really does bring home the sheer scale of the Centro business both here and in the US. We sometimes overlook how big the operations are. These are 17 smallish centres of the 800+ that the company manages.
CNP Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
