Blackstone has invested A$1.52bn (€935.5m) to buy three office towers in Australia from Scentre Group.

The listed retail shopping centre owner said Blackstone had bought the Sydney Office Towers on behalf of “certain funds” that it managed.

Scentre Group CEO, Peter Allen, said the sale had been conducted “by way of granting a 299-year leaseholder interest to Blackstone over the office components located at 100 Market Street, and 77 and 85 Castlereagh Street”.

Scentre will retain ownership of Sydney Tower and the Westfield Sydney retail mall, one of Scentre’s premier assets in Australia.

Allen said: “Our development of the Sydney Office Towers in 2011 and ongoing investment until now has created significant value for security holders.

“Together, with the recent joint venturing of Westfield Burwood, Scentre Group has now released A$2.1bn of capital to further pursue our strategic objectives, creating long-term value for security holders.”

Part proceeds from the transaction will be used to repay debt.

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