What eye-watering sale means for future of popular Gold Coast shopping centre

A majority stake in a Gold Coast icon Pacific Fair has been snapped up in a record-breaking deal. See what the multi billion-dollar sale means for the centre.

A MAJORITY stake in Gold Coast shopping centre icon Pacific Fair has been sold in a $2.2b deal which is the largest retail sales transaction in Australian history.

In what has also been tagged among the largest global retail transactions in the past three years, the deal sees investment giants Cbus Property and UniSuper take a majority stake in the Broadbeach icon, along with a 50 per cent share in Sydney’s Macquarie Centre.

Shoppers flock to Pacific Fair for Boxing Day sales in 2018. Picture: Tertius Pickard.

The sale was flagged by the Bulletin in June, and follows the sale of a 50 per cent stake in Runaway Bay Centre for $128m and a half share of Harbour Town for $385m earlier this month.

A deal is also under way for Queensland Investment Corporation’s 50 per cent stake in Westfield Helensvale, in a contract likely to settle for nine figures before Christmas.

Under the contract, AMP Capital will continue to manage the assets, the company said in a statement late on Wednesday.

“We are delighted to be working with UniSuper and Cbus Property as manager of these incredible assets,” said AMP Capital’s head of real estate Kylie O’Connor.

“Since 2012, AMP Capital has overseen the redevelopment of the assets on behalf of investors to enhance the retail offering and trade area dominance of Pacific Fair and Macquarie Centre.

Shoppers line up at Kookai in Pacific Fair. Picture: Tertius Pickard

“This deal demonstrates the returning confidence investors have in the retail sector, particularly for high- quality, well managed assets, and the support for our highly regarded and talented management platform.”

Cbus Property and UniSuper join AMP Capital in the AMP Capital Retail Trust, which owns an 80 per cent share of Pacific Fair.

The remaining 20 per cent, owned by the AMP Capital Diversified Property Fund, is on the market separately, with CBRE and JLL appointed to find a buyer.

AMP’s statement said the $2.2b deal was “the largest retail transaction in Australian history, as well as one of the largest global retail transactions since 2018”.

The deal was facilitated by the AMP Capital Real Estate team with Lachlan MacGillivray of Colliers, as well as Tim Church and Craig Smith of Morgan Stanley.

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