L67 Property Operators and Real Estate Services

ASX, PEXA square up in settlement market

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Original article by Joyce Moullakis
The Australian Financial Review – Page: 15 & 26 : 1-Jun-18

The ASX and Infotrack have announced a joint venture aimed at targeting the electronic property settlement market, which is valued at $A200 million. Sympli Australia is expected to be up and running by the end of 2018, and will compete with existing market participant Property Exchange Australia, whose shareholders include the big four banks and Link Group. The ASX expects to invest $A30 million in Sympli in the first three years of its operation.

CORPORATES
ASX LIMITED – ASX ASX, INFOTRACK PTY LTD, PROPERTY EXCHANGE AUSTRALIA, LINK ADMINISTRATION HOLDINGS LIMITED – ASX LNK, MACQUARIE GROUP LIMITED – ASX MQG, MARTIN CURRIE INVESTMENT MANAGEMENT LIMITED, RESERVE BANK OF AUSTRALIA

Blackstone bets big on Australia with $3.1b takeover bid for Investa

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Original article by Nick Lenaghan, Matthew Cranston
The Australian Financial Review – Page: 31 : 29-May-18

US fund manager Blackstone has announced a $A3.1 billion takeover bid for Investa Office Fund, with Investa directors having indicated their support for the offer. Investa’s property portfolio is valued at $A4 billion, with its assets including Barrack Place and Deutsche Bank Place in Sydney. Investa was the subject of an unsuccessful bid by Cromwell Property Group in 2017, while a bid for it by Dexus in 2016 also failed to succeed.

CORPORATES
INVESTA OFFICE FUND – ASX IOF, THE BLACKSTONE GROUP LP, DEUTSCHE BANK AG, CROMWELL PROPERTY GROUP – ASX CMW, DEXUS – ASX DXS, TELSTRA CORPORATION LIMITED – ASX TLS, UBS HOLDINGS PTY LTD, JP MORGAN AUSTRALIA LIMITED, WESTFIELD CORPORATION – ASX WFD, UNIBAIL-RODAMCO

Westfield done deal for Unibail

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Original article by Turi Condon, Ben Wilmot
The Australian – Page: 23 : 24-May-18

Westfield Corporation’s shareholders are widely tipped to vote in favour of its acquisition by Unibail-Rodamco on 24 May. Winston Sammut of Folkestone Maxim Asset Management says factors such as the support of proxy advisers and the absence of a rival bid suggests that the $A30bn deal will be approved. He attributes the recent fall in Westfield’s share price to investors replacing the stock in their portfolios in expectation of the deal proceeding.

CORPORATES
WESTFIELD CORPORATION – ASX WFD, UNIBAIL-RODAMCO, FOLKESTONE MAXIM ASSET MANAGEMENT LIMITED, CGI GLASS LEWIS PTY LTD, CLSA AUSTRALIA PTY LTD, GOODMAN GROUP – ASX GMG, DEXUS – ASX DXS, GPT GROUP – ASX GPT

Waislitz planning a major property investment fund

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Original article by John Stensholt
The Australian Financial Review – Page: 1 & 2 : 21-May-18

Billionaire investor Alex Waislitz is understood to be planning to launch either a listed property company or an unlisted property fund. Waislitz has established a partnership with Sydney-based Centennial Property Group, and he could possibly use that relationship to assist his foray into property. Waislitz built his wealth on investing on small and medium-sized listed companies, while he is keen to spend more time on his philanthropic fund, the Waislitz Foundation. It is slated to give away $A50 million over 10 years.

CORPORATES
CENTENNIAL PROPERTY GROUP PTY LTD, WAISLITZ FOUNDATION, THORNEY OPPORTUNITIES LIMITED – ASX TOP, THORNEY TECHNOLOGIES LIMITED – ASX TEK, RCG BRANDS PTY LTD, HUB24 LIMITED – ASX HUB, YOJEE LIMITED – ASX YOJ, AFTERPAY TOUCH GROUP LIMITED – ASX APT

Westfield takeover secures all-clear

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Original article by Ben Wilmot
The Australian – Page: 22 : 18-May-18

Unibail-Rodamco’s shareholders have endorsed the European group’s $A30bn takeover of Westfield Corporation, with some 94 per cent of votes cast supporting the deal. The transaction must still be approved by Westfield shareholders, and Winston Sammut of Folkestone Maxim Asset Management says this is likely to be a formality given that proxy advisers support it. Unibail-Rodamco’s secondary listing on the Australian sharemarket is slated for 31 May.

CORPORATES
WESTFIELD CORPORATION – ASX WFD, UNIBAIL-RODAMCO, UNIBAIL-RODAMCO-WESTFIELD – ASX URW, FOLKESTONE MAXIM ASSET MANAGEMENT LIMITED, APN PROPERTY GROUP LIMITED – ASX APD, CLSA AUSTRALIA PTY LTD, STANDARD AND POOR’S ASX 200 A-REIT INDEX

Developers warned about GST trap on unsold units

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Original article by Duncan Hughes
The Australian Financial Review – Page: 37 : 15-May-18

Tax adviser Ken Fehily has urged property developers who rent out newly-completed apartments because they are struggling to sell them to be mindful of their goods and services tax liabilities. He says developers in this situation could be triggering GST liabilities without being aware of it, and that they will certainly have to pay the full GST when they eventually sell the apartment. Capital Economics expects Melbourne apartment prices to fall by nine per cent in 2018, while Sydney apartment prices are tipped to decline by four per cent.

CORPORATES
CAPITAL ECONOMICS LIMITED, AUSTRALIAN TAXATION OFFICE, FEHILY ADVISORY

Sydney market is 45pc overvalued

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Original article by Su-Lin Tan
The Australian Financial Review – Page: 29 : 8-May-18

SQM Research had forecast in October that Sydney house prices would rise by between four and eight per cent in 2018. However, it now predicts that house prices could fall by as much as four per cent. SQM now expects house prices in Melbourne to decline by up to three per cent in 2018, compared to its previous forecast for growth between seven and 12 per cent. SQM contends that Sydney’s housing market is overvalued by around 45 per cent.

CORPORATES
SQM RESEARCH PTY LTD, CAPITAL ECONOMICS LIMITED

Foreign money needed for build-to-rent funds, says EY

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Original article by Nick Lenaghan
The Australian Financial Review – Page: 39 : 1-May-18

Federal Treasurer Scott Morrison announced restrictions on the purchase of residential property by managed investment trusts in September 2017. Luke McIntosh of Ernst & Young claimed at a property forum on 30 April that the restrictions make it hard to attract the foreign capital needed to get the build-to-rent sector off the ground in Australia. Build-to-rent involves the development of housing from which investors make their profit by retaining it for renters rather than selling it.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY, ERNST AND YOUNG, SALTA PROPERTIES PTY LTD

Sydney, Melbourne prices to fall 5pc

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Original article by Duncan Hughes
The Australian Financial Review – Page: 30 : 10-Apr-18

AMP Capital’s Shane Oliver forecasts that the median house price in both Melbourne and Sydney will decline by around five per cent in 2018. He expects a further downturn in house prices in 2019, although he adds that factors such as population growth and stricter lending standards will prevent a nationwide price crash. Meanwhile, analysis by valuer Herron Todd White suggests that Melbourne is the only mainland capital where apartment prices have not yet peaked.

CORPORATES
AMP CAPITAL INVESTORS LIMITED, HERRON TODD WHITE AUSTRALIA PTY LTD, CORELOGIC AUSTRALIA PTY LTD, THE REAL ESTATE INSTITUTE OF NEW SOUTH WALES

Keep home-building level high, association says

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Original article by Michael Bleby
The Australian Financial Review – Page: 31 : 9-Apr-18

The Housing Industry Association notes that 2016 was a record year for new house construction, with 230,000 being built, and that this rate of construction needs to be maintained for the next two decades. The HIA states this level of construction is needed to meet demand levels and to help maintain housing affordability. The HIA also wants immigration levels to be maintained, in order to offset the impact of Australia’s ageing population and falling birth rates.

CORPORATES
HOUSING INDUSTRY ASSOCIATION LIMITED