Westpoint assets on the market
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The Westpoint property sell-off continues with agents Burgess Rawson releasing a second portfolio of properties onto the market, including 10 strata-title units at the Warwick Entertainment Centre.
Agents Rob Selid and Chad Henville expect strong inquiry for the second sale following the recent success of the first portfolio sale on behalf of receivers KordaMentha, which generated $5 million.
The proceeds of the liquidation will go to first ranking creditors, who lost more than $320 million in property investments when Norm Carey’s Westpoint Corporation collapsed in February.
Several Westpoint-linked properties have been placed in receivership following an Australian Securities and Investments Commission investigation into the investment group.
Of those properties, three are about to finally pay dividends with the impending handovers of the former Emu Brewery Site on Mounts Bay Road, the Paragon Centre on St Georges Terrace and Cinema City on Hay Street to eager buyers.
The winning tender for the 18,000 square metre Emu Brewery site is soon to be announced by agents Knight Frank, with investors to get a slice of the expected $40 million sale.
On the terrace, expressions of interest have closed on the Paragon Centre, a nine-storey retail arcade and office complex, which is expected to sell for over $25 million, despite moves by original investors to launch a refinancing bid to keep control of the property.
Expressions of interest for the 4,388sq m Cinema City site have also closed and creditors LM Mortgage Management will likely recoup the $14 million it claims it is owed by Westpoint company, Goldtag Pty Ltd.
Other Westpoint properties for sale include: the Warnbro Fair Shopping Centre, where original investors are trying to secure a $30 million restructuring deal; The Huntingdale Village Shopping Centre, a medical centre in South Perth; and a Rivervale apartment development, among others.
Westpoint’s former headquarters is now home to Ferntree, a financial services company linked to Mr Carey.