BlackRock has bought a 50% stake in an Australian office complex from its joint venture partner, Cromwell Property, for about A$87m (€49m).
Cromwell said that it was selling its stake in 475 Victoria Street, a suburban office complex in Sydney’s north, at a 9% discount to the most recent valuation.
BlackRock and the Brisbane-based company have co-owned the office building in Chatswood in equal partnership since 2020, when the US investor bought into the asset for A$120m.
Cromwell first bought 475 Victoria Street, comprising two 13-storey office towers with a retail component, nearly two decades ago for A$110m. The company said during its ownership it had realised a property internal rate of return of more than 8.5%.
Cromwell, which is now 19.9% owned by Brookfield, said proceeds from the divestment would lower its gearing level by 3%.
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