By Stuart Condie
SYDNEY--Westfield mall operator Scentre agreed to sell a near-20% stake in its Sydney showpiece site to Australian Retirement Fund for about US$575 million, continuing its efforts to release capital from its mature assets.
Scentre, which operates the brand in Australia and New Zealand, said Tuesday that it had agreed to sell the stake in its Westfield Sydney mall to the superannuation fund for 864 million Australian dollars, equivalent to US$575.25 million.
The purchase price represented Scentre's book value at June 30 and a valuation capitalization rate of 4.69%, the company said.
"Westfield Sydney is an iconic destination located in the heart of Sydney's CBD, visited by more than 33 million customers each year," Scentre Chief Executive Elliott Rusanow said.
Scentre will retain the remaining 80.1% stake and continue to manage leasing and development.
The sale means Scentre has secured about A$2.2 billion in new third-party capital in 2025. It recently sold a 50% stake in its Westfield Chermside center Dexus-managed funds for a total of US$1.3 billion.
Write to Stuart Condie at stuart.condie@wsj.com
(END) Dow Jones Newswires
12-22-25 2332ET
