<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Dexus is doubling down on its investment in Westfield’s Warringah Mall in Sydney as the top end of Australia’s retail property market makes a speedy recovery in the lead-up to Christmas with the nation’s vaccination levels and consumer confidence on the rise.</p><p>The exchange of contracts by Dexus Wholesale Property Fund (DWPF) to acquire an additional 25 per cent interest in the regional centre comes as Covid restrictions lift and the reopening of borders looms.</p><p>Its circa-$410-million investment brings its stake in the 131,589sq m asset at Brookvale in Sydney’s northern beaches to 50 per cent, with Scentre Group retaining ownership of the other half-interest.</p><p>The transaction—the latest in a number of major shopping centre deals—is due to settle next month and pushes its vale to more than $1.6 billion.</p><p>“This acquisition increases DWPF’s interest in a well-performing super regional retail asset which is expected to benefit from embedded development opportunities,” DWPF fund manager Michael Sheffield said.</p><p>“The acquisition represents relative value compared to other asset classes in a post pandemic environment.”</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/3efcce65-d5ef-4f73-84f4-13bababec471.jpg" width="900"/></picture><div><span style="align-content:center;opacity:0.8">▲ Westfield Warringah Mall was originally built in the 1960s.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Anchored by Myer, David Jones, Big W and Kmart stores, along with Woolworths and Coles supermarkets, Hoyts Cinema and Bunnings, the three-level shopping centre has undergone numerous additions and refurbishments.</p><p>It underwent a $310-million redevelopment in 2015 and a masterplan for the centre, which opened its doors in 1963, provides for mixed-use redevelopment and repositioning opportunities over the long-term.</p><p>A rush of major shopping centre deals has gained momentum in recent times after months of the sector being laid low by the pandemic.</p><p>A consortium including UniSuper, Cbus Property and the AMP Capital Finance <a href="https://www.theurbandeveloper.com/articles/unisuper-cbus-amp-capital-pacific-fair-macquarie-centre-transaction">shattered the record for Australia’s largest retail transaction,</a> picking up a 50 per cent stake of the Macquarie Centre in Sydney’s north and 80 per cent of Pacific Fair on the Gold Coast in a $2.2-billion deal.</p><p>Brisbane-based fund manager Sentinel Property Group pounced on Darwin’s Casuarina Square shopping centre for about $420 million, acquiring it from GPT Group, in one of the city’s biggest retail deals.  </p><p>Haben Property Group and Hong Kong-based investment house JY Group acquired Wollongong Central shopping centre from GPT Group in a $402 million deal.</p><p>JY Group also has secured a half stake in one of Australia’s oldest suburban shopping centres, Roselands in Sydney’s south-west, from Challenger in a $167 million deal.</p><p>As well, <a href="https://www.theurbandeveloper.com/articles/fawkner-swoops-on-146m-stockland-cairns">Fawkner Property snapped up Cairns Shopping Centre</a>, the largest retail centre in far north Queensland, for $146 million.</p></div></div></div></div></div>

Australia’s retail property market is making a speedy recovery in the Christmas lead-up with the nation’s vaccination levels hitting critical mass...

Scentre Group has priced a subordinated hybrid note issue, collected more rent and moves towards recovery.

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Scentre Group has priced a US$3.0 billion (A$4.1 billion) subordinated hybrid note issue as a new way to prop up its balance sheet as it moves out of the testing Covid period.</p><p>The owner of Westfield shopping centres has reported improved rent collections—86 per cent of gross rent was collected for August—and announced its intention to make a distribution in early 2021.</p><p>The ASX-listed company will put the notes on the United States market with a mix of non-call 6-year subordinated notes with a coupon of 4.75 per cent and 10-year at 5.125 per cent.</p><p>The notes, with a 60-year maturity date, are part of Scentre’s long-term funding plans, with this inaugural issuance of hybrid notes created to diversify its sources of capital. </p><p>This follows the group posting an AU$3.6 billion <a href="https://theurbandeveloper.com/articles/westfield-owner-scentre-group-post-3bn-hit-in-first-half">loss </a>in August after the pandemic <a href="https://theurbandeveloper.com/articles/coronavirus-continues-to-ravage-retail-as-major-landlords-withdraw-guidance">ravaged </a>the retail sector.</p><p>In late August, Scentre also gave share buy-back notice of 126.6 million units.</p><p>Meanwhile rent collection for August has increased to $183 million or 86 per cent, this compares to the April low of 28 per cent and pre-Covid rate around 94 per cent.</p><p><strong>Scentre Group rent collection</strong></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/3d62c2e0-1e19-4447-bdfa-20227c176832.jpg" width="800"/></picture><div></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><sub><sup>^ Source: Scentre Group, January to August</sup></sub></p><p>These results were also reflected in Australian Bureau of Statistics data which showed household spending dropped 12.1 per cent in the June quarter and 2.6 per cent in the financial year—the largest quarterly fall in household spending, and the first annual fall, recorded in the national accounts.</p><p>The Reserve Bank of Australia also noted the drop in June, and predicts consumption will continue to increase in the September quarter, but not enough to outweigh June.</p><p>“Since then, consumption had started to recover, but was still well below pre-pandemic levels,” the RBA board noted.</p><p>“Restrictions on activity had constrained spending in Victoria, with retail spending there much weaker than in the rest of the country.</p><p>“Overall, household consumption in Australia was still expected to increase in the September quarter, but this would only partly reverse the contraction that had been experienced earlier in the year.”</p></div></div></div></div></div>

Scentre Group has priced a US$3.0 billion subordinated hybrid note issue as a new way to prop up its balance sheet...

Westfield Scentre Group

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>In the face of unprecedented economic <a href="https://theurbandeveloper.com/articles/retail-coronavirus-food-alcohol">headwinds</a>, Scentre Group has obtained additional unsecured bank facilities to boost its liquidity by $3.1 billion. </p><p>The additional support from its lenders has a two-year duration and provides the retail landlord with further funding flexibility in an uncertain economic environment.</p><p>The announcement, made by chief executive Peter Allen, bouyed the group’s shares, which lifted by 12 per cent on Wednesday.</p><p>The group currently has $2.5 billion of bonds and bank facilities expiring in December of next year. </p><p>The shopping centre giant, which owns 42 Westfield shopping centres in Australia and New Zealand, currently has total assets of $40 billion and assets under management of $56 billion.</p><p>More than 65 per cent of the Australian population live within 30 minutes of a Westfield Living Centre, however, strict new coronavirus social distancing rules have forced many retailers under mounting financial pressure.</p><p>The company said in a March update that it had <a href="https://theurbandeveloper.com/articles/stock-sell-off-sees-scentrevicinity-withdraw-guidance">pulled its earnings guidance</a> under the basis that the trading environment continues to simply be too uncertain to predict.</p><p>Last month, Scentre <a href="https://theurbandeveloper.com/articles/scentre-eyes-3bn-development-pipeline">posted</a> a full-year net profit of $1.18 billion, down 48.4 per cent from $2.28 billion a year ago and a lift in Funds From Operations to $1.34 billion up just 0.4 per cent from its <a href="https://theurbandeveloper.com/articles/westfield-owner-remains-optimistic-despite-49pc-profit-plunge">2018 result</a>.</p><p>The company also said it was <a href="https://theurbandeveloper.com/articles/scentre-eyes-3bn-development-pipeline">pushing ahead</a> with a $3 billion development pipeline after divesting $2.1 billion worth of assets over 2019.</p><p>Analysts are closely watching the retail sector with the emergence of ecommerce reshaping consumer habits with online shopping increasing by 14 per cent annually for the past three years—four times faster than traditional retail sales growth.</p><p>With most of Australia under lockdown, the percentage of shoppers spending more online versus offline is set to increase exponentially, with consumers forced from bricks and mortar stores. </p><p>Global ratings agency Moody&#x27;s weighed in revising the rating outlook to negative from stable.</p><p>“The increase in the group’s liquidity demonstrates Scentre’s strong access to capital, and helps reduce refinancing risk through 2021,” Moody’s Investors Service vice president Matthew Moore said.</p><p>“But while it&#x27;s improved liquidity position removes some risk, we expect further deterioration in the retail environment from the coronavirus pandemic will pressure Scentre’s revenue, income and leverage metrics.”</p><p>Moody’s also downgraded its outlook on Vicinity Centres, which it said is exposed to the declines in tourism.</p><p>While government <a href="https://theurbandeveloper.com/articles/wage-subsidy-loan-deferrals">relief measures</a> have aimed to mitigate some of the impact of the coronavirus outbreak on Australian businesses, banks are still attempting to understand the scale of debt they will need to provide for in response to COVID-19.</p><p>Under a broad-based recession, sluggish recovery and perverse policy outcomes—debts across the four major banks could surge to $120 billion over the 18-month period.</p></div></div></div></div></div>

Scentre Group said it has obtained additional unsecured bank facilities that inject the group’s available liquidity position with $3.1 billion.

486dbd9c-e367-45b0-8813-86bd382aa5a9

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>As mall owners and retailers continue to bear the brunt of plummeting <a href="https://theurbandeveloper.com/articles/lack-of-clarity-westfield-owner-cuts-guidance">consumer confidence </a>and coronavirus-related government shutdowns, some clear trends are emerging in household expenditure.</p><p>CBA’s senior economist Gareth Aird said credit and debit card spending data from the first week of government-ordered shutdowns indicates a contraction in spending when compared to a year ago.</p><p>“A strong rise in spending on food and alcohol as well as on household furnishings and equipment was not enough to offset the fall in spending in other categories,” Arid said, adding that spending was down sharply on clothing, transport, recreation and personal care.</p><p>Food spending during the week ending 27 March spiked by 18 per cent compared to the same week a year ago, and sales of food goods—largely from grocery stores and supermarkets—were up by 40 per cent on last year. </p><p>A surge in spending on alcohol compared to one year ago confirms the anecdotes that households have been stockpiling beer, wine and spirits, with Aird noting a “staggering” increase of 86 percent in spending on alcohol goods in bottle shops.</p><p>The withdrawal of guidance by the likes of pub owners <a href="https://theurbandeveloper.com/articles/redcape-shuts-down-pub-portfolio?utm_source=TUD+Master+List&amp;utm_campaign=bf670e439f-EMAIL_CAMPAIGN_2019_07_03_11_11_COPY_01&amp;utm_medium=email&amp;utm_term=0_9f25b32131-bf670e439f-191582919">Redcape </a>and others was reflected in spending on alcohol services, which plunged by 49 per cent in the wake of the federal government’s 23 March shutdown of pubs and hotels.</p><p>Aird said the breakdown of the data captures what is to come in terms of big falls in some spending and rises in others.</p><p>“The falls, however, will be significantly larger than the rises and so overall household expenditure is set to contract materially.”</p><p>While the federal government had initially advised that <a href="https://theurbandeveloper.com/articles/shopping-malls-stay-open-auctions-banned-">shopping centres</a> would stay open as “essential services”, these too seem likely to become the latest casualty of the coronavirus pandemic, with Australia’s second-largest listed mall landlord, <a href="https://theurbandeveloper.com/articles/stock-sell-off-sees-scentrevicinity-withdraw-guidance">Vicinity Centres</a>, announcing reduced trading hours across its 63 shopping centres across Australia.</p><p>Vicinity chief executive Grant Kelley said the move was aimed at supporting retailers.</p><p>“Reducing opening hours will help retailers, who remain open, to lower costs giving them more flexibility to manage their businesses, operations and teams.</p><p>“We know we have an important role to play to support our retailers who remain open and trading so they can continue operating their businesses safely and keep their team members employed and working,” Kelley said.</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/e455c959-cd78-419b-b870-c5321fe7b3f1.jpg" width="800"/></picture><div><span style="align-content:center;opacity:0.8">▲ASX-listed regional mall landlords Vicinity Centres are among many feeling the impact as Covid-19 creates increasingly uncertain retail trading and operating environments.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Last week, Vicinity along with rival listed shopping mall giant, Scentre Group and <a href="https://theurbandeveloper.com/articles/coronavirus-continues-to-ravage-retail-as-major-landlords-withdraw-guidance">Stockland—</a>which holds a large network of shopping centres, joined the wave of companies withdrawing their earnings and distribution guidance as coronavirus creates increasingly uncertain retail trading and operating environments.</p><p>Wesfarmers’ announcement of the sale of a further 5.2 per cent stake in Coles is regarded as further evidence of the impact of the government-enforced shutdown on retail businesses - even for those not feeling the full force of Covid-19 just yet.</p><p>Moody’s vice president Ian Chitterer said Wesfarmers, which owns Bunnings, is particularly exposed to the risk of a government-enforced shutdown of its Australian retail businesses. </p><p>“While we expect Bunnings and Officeworks will be regarded as essential services and remain open in Australia, Bunnings in New Zealand is open only to trade customers but closed to the general public,&quot; Chitterer said. </p><p>Many retailers had already closed their doors ahead of the government’s announcement of  a moratorium on evictions as part of its latest <a href="https://theurbandeveloper.com/articles/pressure-on-landlords-for-rent-relief-in-covid-19-crisis">stimulus</a> measures, including most David Jones stores, Myer, Adairs, the Cotton On group, in addition to others who closed last week in response to concerns over staff wellbeing.</p><p>The Shopping Centre Council of Australia, Australian Retailers Association, the National Retail Association and the Pharmacy Guild of Australia unanimously agreed a set of retail leasing principles on Tuesday to guide the establishment of a code of conduct for the provision of support to Australian retailers.</p></div></div></div></div></div>

Mall owners and retailers continue to bear the brunt of plummeting consumer confidence - and some clear trends are emerging in household expenditure.

Westfield1

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="ci cl"><p><strong>The board of global shopping centre group Westfield have unanimously recommended shareholders approve its proposed $30 billion takeover by France’s Unibail-Rodamco ahead of a forthcoming securityholder meeting to vote on the offer on 24 May. </strong></p><p>Westfield’s board have also unanimously supported the spin-off of the OneMarket start-up technology company — headed by Steven Lowy — to be listed separately on the ASX. </p><p>OneMarket’s strategy is to develop a retail technology network that seeks to help bricks-and-mortar retailers compete more effectively in the evolving retail environment. It has currently three network participation agreements in place with Westfield, Unibail-Rodamco and US group Nordstrom.  </p><p>Related reading: <a href="https://theurbandeveloper.com/articles/westfield-32bn-takeover-moves-one-step-closer">Westfield $32bn Takeover Moves One Step Closer</a></p><p>Existing Westfield shareholders will be handed 90 per cent of the shares with Unibail holding the other 10 per cent. </p><p>The spin-off as part of the takeover would see OneMarket start with no debt and $160 million in cash, which Westfield feels will be sufficient to meet its anticipated cash needs until late 2019. </p><p>Westfield has developed three main products for retailers: Live Receipts, generating digital receipts which allows retailers and shopping venues to engage shoppers after a transaction; Intelligent Parking Solutions is a system that lets malls upgrade their parking offering; and Shopper Exchange is a product that generates revenue from advertisers to deploy and manage targeted digital advertising campaigns using retailers’ data.</p><p>If the Westfield takeover is approved, security holders will own 28 per cent of the new group. The combined group would have assets of around $97 billion in 13 countries. The Lowy’s would own a 2.64 per cent stake. </p><p>Independent expert Grant Samuel and Associates has concluded that the transaction was in the best interests of Westfield Shareholders in the absence of a better offer. Grant Samuel has the same view also in respect to the OneMarket demerger. </p><p>The value of the takeover has fallen since the bid was first launched from US$7.55 per Westfield share on December 12, to US$6.98 per share on April 10. </p><p>Related reading: <a href="https://theurbandeveloper.com/articles/scentre-group-invests-in-nzs-largest-mall-">Scentre Group Invests in NZ’s Largest Mall</a></p><p>Westfield chairman Sir Frank Lowy wrote in his chairman’s letter that the offer “continues to represent strong pricing for Westfield securityholders”.</p><p>Unibail-Rodamco SE was created in 1968 and is Europe’s largest listed commercial property company, with a presence in 11 Continental European countries, and a portfolio of assets valued at €43.1 billion as of December 31, 2017. As an integrated operator, investor and developer, the Group aims to cover the whole of the real estate value creation chain. </p></div></div></div>

The board of global shopping centre group Westfield have unanimously urged shareholders approve its proposed $30 bn takeover and demerge...

North City 1

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><strong>South Australian developer Nick DiMauro and his company Angaet Holdings has purchased the North City Shopping Centre, Porirua, north of Wellington for $95 million from Kiwi Property. </strong></p><p>Di Mauro’s Angaet owns more than 20 shopping centres in Australia. North City will be his second shopping centre asset in New Zealand after acquiring Westfield WestCity shopping centre in Auckland’s Henderson in February 2017 from Scentre Group for $147 million. </p><p>North City, which opened in 1990, has 102 tenancies including Kmart, Farmers and a Reading Cinemas as well as parking for more than 1100 cars. </p><p>Kiwi Property said the sale was slightly below an independent valuation done on the North City Centre in March which valued it at $100 million.  </p><p> “North City had been identified for sale as part of our capital recycling programme designed to fund current investment priorities,” Kiwi Property chief executive Chris Gudgeon said. </p><p>“Proceeds from the sale, due to settle in July 2018, will be used to pay down bank debt and provide further balance sheet flexibility.”</p><p>The sale follows Kiwi Property’s recent sale of The Majestic Centre, an office tower in Wellington, for $117 million.</p><p>DiMauro was named on the Australian Financial Review Rich List in 2017 with a net worth of about $530 million. </p><p>NZX-listed Kiwi Property has been around for more than 20 years and owns and manages a NZ$3.1 billion portfolio of real estate, comprising some of New Zealand’s best shopping centres and prime office buildings.</p><p>In November, <a href="https://theurbandeveloper.com/articles/investec-australia-property-fund-wellington-acquisition">Kiwi sold Wellington’s tallest building</a>, The Majestic Centre, for $111 million to Investec Australia Property Fund. The 29-storey tower continues to be managed by Kiwi. </p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/82b2a27d-a82c-49b8-8bd9-7d707bb78c3f.jpg" width="1300"/></picture><div></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><h2><strong>Auckland Apartment Hotel Up for Sale</strong></h2><p>The Waldorf Stadium Apartment Hotel in Auckland’s CBD has been listed for sale with price expectations around the $70 million mark.</p><p>The 178-unit strata title development is to be sold subject to a new 11-year performance lease, underpinned by guarantees from Japanese serviced apartment conglomerate Daiwa House Group. </p><p>The entity has recently acquired the Australia and New Zealand Waldorf serviced apartment business with further plans to expand in the region.</p><p>The property has been listed through Colliers International Hotels and CBRE Hotels.</p><p>“Auckland is one of the best performing hotel markets in the Asia Pacific region,” CBRE Hotel’s Wayne Bunz said.</p><p>“Investors will therefore be assured of strong returns moving forward, which is further underpinned by one of the largest international serviced apartment operators in the world.”</p><p>The hotel divestment would represent the first major hotel sale in the Auckland CBD since the Hilton Auckland sold in 2012. </p></div></div></div></div></div>

2fb6545e-2ffd-4f79-9173-f3285bf4c0bf

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="ci cl"><p><strong>As the $30 billion takeover bid by French giant Unibail-Rodamco looms, Westfield Corporation’s investors will likely push for a better deal.</strong></p><p>In what is set to become Australia’s largest-ever takeover – pending shareholders’ approval – the deal will be finalised by 30 May with the new merged shopping centre giant to begin trading on 7 June.</p><p>As a giant leap forward, both the French and Dutch financial market authorities have approved key documentation supporting the deal. </p><p>Federal Treasurer Scott Morrison also approved the Westfield takeover last week.</p><p>The transaction was unanimously recommended by Westfield&#x27;s Board of Directors as well as by Unibail-Rodamco&#x27;s Management Board and Supervisory Board.</p><p><strong>Related reading:</strong> <a href="https://theurbandeveloper.com/articles/listed-property-rises-on-westfield-sale-to-european-landlord">Listed Property Rises on Westfield Sale to European Landlord</a></p><p>Before the transaction is finalised, the offer still needs approval by shareholders in both companies, with Westfield security holders to vote at the company’s annual meeting come 24 May. </p><p>The French giant is offering Westfield unitholders 0.01844 Unibail-Rodamco shares for every Westfield share, and $US2.67 cash. </p><p>Unibail-Rodamco and Westfield Corporation announced they had entered into agreement to acquire Westfield in December, with the intention of creating “a global property leader” with a gross market value of US$72.2 billion and footholds in 27 of the world’s most prominent retail markets and cities.</p><p>Westfield owns 35 shopping centres with total assets under management of of $US34.5 billion, while Unibail-Rodamco’s assets under management of $US43.1 billion, according to the French prospectus.</p><p>The deal will create the largest shopping centre landlord in the world with sites attracting over 1.2 billion visits each year. Westfield owns malls in the United States, Britain and Italy. </p><p>The Australian and New Zealand shopping centres, which run under the Westfield banner are owned and managed by the Scentre Group and are not subject to the Unibail takeover.</p><p>Westfield’s last day trading on the ASX will be 30 May. The shopping centre empire created by Frank Lowy has been listed on the Australian bourse since 1960.</p></div></div></div>

As the $30 billion takeover bid by French giant Unibail-Rodamco looms, Westfield Corporation’s investors will likely push for a better deal.

3c49b677-152b-427b-b87e-e415720fcde1

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><strong>By now, the news of Tuesday&#x27;s $33 billion takeover of Westfield has well and truly flooded Australian news media – after resuming trade today, shares in Westfield have soared nearly 14 per cent to $9.68 and $22 billion has entered the local market.</strong></p><p>Yesterday’s takeover offer by Europe’s Unibail-Rodmaco had the effect of boosting Australian-listed property interests including Scentre (which owns and manages the company’s Australian Westfield malls) rising 4.1 per cent and competitor Vicinity Centres up 2.5 per cent at close of trading on Tuesday.</p><p>Owners of shopping centres and listed property trusts have wrestled for some time with the threat of online shopping and the arrival of US giant Amazon weighing heavily on the sector.</p><p>Advisory group BDO found that Australian REITs performed poorly for investors over the 2017 financial year, contributing to a 6.3 per cent negative total return – down significantly from 24.6 per cent on the previous year.</p><p>Westfield, for the most part, has weathered the digital storm by combining high-street shopping with dining, cinemas, bars and other experiences. Its founder, Sir Frank Lowy, sees strength in size with the Unibail-Rodmaco deal and the opportunity to offer customers an experience beyond just selling goods.</p><p>[Related reading: <a href="https://theurbandeveloper.com/articles/scentre-westfield-sales-up">Food Retail Offsets Department Store Slump for Scentre</a>]</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/f42a130e-bc2b-4027-95e2-f38a74af3ff6.jpg" width="1920"/></picture><div></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Paris-based Unibail-Rodmaco is the largest commercial landlord in Europe, with interests in shopping centres, offices and exhibition centres. It has offered a mix of cash and scrip to obtain control of Westfield at a premium of 17.8 per cent on the most recent trading value of Westfield securities.</p><p>Westfield’s Australasian assets were spun off into a separate company, Scentre Group, in 2014. Scentre Group is not included in this deal.</p><p>The combined group will have 104 shopping centres worth over $95 billion across 13 countries. Unibail will rebrand its bigger Unibail malls as Westfield.</p><p>The boards of both companies have unanimously recommended the offer. The deal was struck after six weeks of negotiations and will see Lowy and his two sons Peter and Steven remain in advisory and board positions within the entity. Lowy will retire as Chairman of Westfield. The family will remain as investors in the new company.</p><p>[Related reading: <a href="https://theurbandeveloper.com/articles/scentre-group-qicgre-westfield-coomera-officially-underway">$470 Million Westfield Coomera to Open in 2018</a>]</p><p>Sir Frank was appointed a knight bachelor by Her Majesty, Queen Elizabeth II in the birthday honours list announced in June. He was recognised for his contribution to the British economy following the development of two large UK centres – Westfield London and Westfield Stratford City, and for his philanthropic endeavours.</p><p>In November, London’s third Westfield complex was approved by city councillors at Croydon. The £1.4 billion shopping centre development could be open by 2022.</p><p>&quot;For the assets I have spent my life building I could not imagine a better home for them than in this new company,&quot; Frank Lowy said.</p><p>&quot;Today is the second most important day in Westfield history – the most important day was September 1960 when Westfield was born [in Sydney’s west].&quot;</p><p>Lowy received his knighthood early this month at Windsor Castle, some ten years after opening his first shopping centre in Britain.</p></div></div></div></div></div>

WESTFIELD