GPT Group has secured A$610m (€371m) in capital commitments from domestic and global investors for its open-ended shopping centre fund.
The GPT Wholesale Shopping Centre Fund (GWSCF) was seeking to raise A$500m but lifted the raising by A$110m by diluting its own interest to accommodate the oversubscription.
A spokesperson for GPT told IPE Real Assets that the fund did not participate in the raising, and in doing so had reduced its stake from 32% to 27%.
The last time the A$3.6bn fund went to the market was in the mid 2010.
He said there was strong interest in the capital raising from investors in Australia, Asia and North America. About half of the raising came from new investors, and among those who subscribed, about 50% were global investors.
“The fund has delivered exceptional income growth, and among all the core funds across retail, industrial and office, it is the number one performing fund over one, two and three years.” he said.
GWSCF fund manager, David Sleet, said: “Successfully exceeding the equity raise target demonstrates the trust and support from both existing and new fund investors for GWSCF’s strategy.”
GPT CEO and managing director, Russell Proutt, said: “GPT’s strategy is to invest in our funds and partnerships with aligned partners, focusing on research-led opportunities for growth.”
The spokesperson said the equity would be used to fund the existing development pipeline, including its large Rouse Hill Town Centre development in Sydney. Potentially, the capital would also go into a small redevelopment at Parkmore, and then in the future to undertake a larger redevelopment at Chirnside Park, both in Melbourne.
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