GIC takes another bite of New Zealand real estate sector in joint venture for 5 malls

Sovereign wealth fund GIC is increasing its interests in the real estate sector in New Zealand. -- PHOTO: GIC/GOODMAN
Sovereign wealth fund GIC is increasing its interests in the real estate sector in New Zealand. -- PHOTO: GIC/GOODMAN

Singapore - Sovereign wealth fund GIC is increasing its interests in the real estate sector in New Zealand.

It said on Thursday that it has entered into a joint venture partnership with Scentre Group to acquire five New Zealand malls with a combined gross value of NZ$2.1 billion.

GIC will own a 49 per cent interest in each of the five malls in New Zealand - Westfield Albany, Westfield Manukau, Westfield Newmarket, Westfield Riccarton and Westfield St Lukes.

Scentre is New Zealand's largest shopping centre operator, managing about nine shopping centres with annual sales in excess of NZ$2 billion.

The malls have about 70 million customer visits every year.

About 70 per cent of the New Zealand population live within 30 minutes of a Scentre shopping centre, GIC added.

The partnership with Scentre also includes the joint ownership of two malls in Australia - Westfield Parramatta and Westfield Whitford City - though the value was not made known.

This is GIC's second investment in New Zealand's real estate.

It announced on Monday that it will make its foray in New Zealand, taking a 49 per cent stake in a joint venture with Goodman Property Trust where they will invest in a major Auckland waterfront precinct.