Satterley Property Group boss Nigel Satterley has confirmed he has been in talks with Australand’s biggest shareholder, CapitalLand, regarding the acquisition of its residential assets in Western Australia and Victoria.
If successful, this purchase would triple the size of Satterley’s business in Victoria, which was recently bolstered by its acquisition of a 2,000-lot land parcel in Melbourne’s Werribee for $100 million.
However the timing of any deal is out of Satterley’s hands and will depend on the successful sale of Australand’s residential assets in NSW and Queensland, as well as the emergence of a buyer for its commercial assets.
Sydney-based GPT has withdrawn from negotiations to acquire the group’s non-residential assets for $3 billion, and it’s understood US private equity group Blackstone has halted talks to buy the entire business.
Mr Satterley admitted the negotiations may well “run out of steam”, yet with two separate 4,000-lot deals in Melbourne nearing completion wasn’t overly concerned.
He previously revealed the group had a $400 million war chest to spend on land in Melbourne, which it has identified as a prime growth market.
In WA, Satterley has released the final commercial blocks at its Brighton development in Perth’s busy northern coastal corridor.
The five-hectare land parcel was divided into four separate lots, which would suit a small-format bulky goods operator or even a cinema and entertainment complex.
Woolworths has already invested $26.7 million for a 7.9ha site within the precinct and Masters Home Improvement bought a 4.5ha site for $13.2 million.
Masters, Woolworths and Big W outlets are all either under construction or in the final planning stages.