Sovereign wealth fund GIC is acquiring a 25.1 per cent stake in Lendlease International Towers Sydney Trust from the Canada Pension Plan Investment Board and Lendlease Group, it said yesterday.

The trust owns premium-grade office properties in Sydney's central business district (CBD) that are close to Darling Harbour and extensive amenities, said GIC.

Lendlease said the trust was set up in 2012 and is valued at A$4.3 billion (S$4 billion).

The transaction is subject to regulatory approval and is expected to fully close this quarter.

"These high-quality assets, situated in the heart of Sydney's CBD, are expected to generate attractive risk-adjusted returns in the long run," said Mr Lee Kok Sun, chief investment officer, GIC Real Estate.

"As a long-term investor, we will continue to seek good investment opportunities that will add value to our global portfolio."

Separately, Australia-listed Lendlease is targeting a mid-September initial public offering in Singapore for its upcoming global commercial real estate investment trust (Reit).

The Reit - which includes a shopping mall in Orchard Road - will comprise one property each in Singapore and Milan, Italy, with a total net lettable area of 1.3 million sq ft and an appraised value of $1.4 billion.