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WA reaps $135.5m from Market City sale

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Market City has become the first asset sale announced by the West Australian government after a $135.5 million bid by Perth Markets.

The industry consortium, led by the Chamber of Fruit and Vegetable Industries in WA, will take over the Canning Vale site on March 31 and it will continue to operate as WA's primary trading centre for fruit and vegetables.

The sale of Market City, currently managed and owned by the Perth Market Authority, is the first under the state government's asset sales program in an attempt to ease WA's crippling debt.

Proceeds will also pay off the Perth Market Authority's debt.

Treasurer Mike Nahan said it was a good price and would ensure investment in the market to expand the horticulture industry.

"They have a great deal of expertise in operating the market - that's their daily bread - they have a commitment to maintaining the market ... and a structure to invest further in it," Dr Nahan told reporters on Friday.

Other asset sales, including Utah Point and the Port of Fremantle, were on schedule too, the treasurer added.

But Opposition treasury spokesman Ben Wyatt said while it was an adequate price, the sale was merely a drop in the ocean as the state battled $1 billion in interest on debt this year alone.

"Regardless of people's views of the sale of assets, you do not do it in an environment of desperation and panic that will lead to poor outcomes both in terms of the return to the taxpayer, but also in terms of the likely impact on the WA economy from a botched sale process," he said.


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