New broom promises to sweep GPT back to top 10 Carolyn Cummins May 22, 2009 GPT's newly appointed chief executive, Michael Cameron, is determined to get the trust back to its top-10 status as quickly as market conditions and his bankers allow.
Speaking to the media, after a series of briefings over the past few weeks with key shareholders and investors, Mr Cameron said he would use his background at Lend Lease and Commonwealth Bank to ensure GPT was no longer referred to as "embattled".
"Having only started on May 1, my first priority was to get the balance sheet in order, which we did with the $1.9 billion capital raising. The next step is to address the joint venture we have with Babcock & Brown, which is also progressing," Mr Cameron said.
"But now we have the financing, through the capital issue, we will not be conducting any fire sales of non-core assets. We are still selling those properties, (mainly the hotel portfolio) but not at any price."
Mr Cameron will face shareholders on Monday at his first annual meeting and is prepared for a long haul as investors wade through, and debate, nine resolutions.
Most of these relate to the re-election of directors, which is a hot issue.
He is also expecting questions on whether he has spoken to major shareholder Stockland, which owns 13.1 per cent of GPT, and the status of a retail development in Newcastle.
"Having increased our capital base, we have the lowest gearing (of about 34 per cent) in the real estate investment trust sector, which gives us good leverage."
Mr Cameron said many investors have said they would like to see GPT remain independent and not get caught up in the next wave of merger and acquisition activity.
GPT Price at posting:
$2.35 Sentiment: None Disclosure: Not Held
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