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GPT to list office fund

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Property investment company GPT Group is set to publicly list its metropolitan office fund, valued at about $376 million.

The GPT Metro Office Fund will feature six metropolitan and business park office properties across Sydney, Melbourne and Brisbane.

GPT expects the new fund's distribution yield would be about 7.4 per cent per annum for the period from allotment to June 30, 2015.

The group says it has begun engaging with investors and its final decision to proceed is subject to market conditions. 

GPT would likely own a stake in the new entity of about 10 per cent and would be paid a management fee equating to 0.6 per cent of the fund’s value.

National Australia Bank, Morgans, Ord Minnett and law firm Allens were also advising on the deal.

GPT has been weighing up options for its suburban offices for some time, including spinning out the assets into a separate unlisted vehicle.

The company will add to the pipeline of groups heading for the Australian Securities Exchange in the aftermath of the reporting season under the watchful eye of UBS, including the $700m-plus cinema business Hoyts.

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Property investment firm set to create new $376m listed real estate investment trust.

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Companies: ASX Listed


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