PBL Media Withdraws Nine Network Sites From Sale
Charter Hall has been advised by PBL Media it has decided to withdraw from market the Nine Network's landmark properties at Willoughby (TCN 9) and Richmond (GTV 9).
Charter Hall, on behalf of its fifth opportunity fund, Charter Hall Opportunity Fund No.5 ("CHOF5"), had been granted an exclusive dealing period until 30 June 2008 for the Willoughby site, while in Richmond CHOF5 and its joint venture partners, R Corporation and Crane Corp were granted a similar exclusive period. Charter Hall and PBL Media had been in negotiation on the sale of the properties for several months.
Charter Hall's joint Managing Director, David Southon said Charter Hall and joint venture partners, R.Corporation and Crane Corp, were disappointed with the decision, particularly as the parties were nearing completion of the process. The agreed transactions were fully funded via a combination of equity and credit approved debt facilities. He said all parties had worked diligently and cooperatively, in every aspect of the process, to satisfy PBL Media's intention to dispose of these properties by 30 June 2008.
CHOF5 continues to identify and capitalise on a range of excellent opportunities and recently exchanged on 40 Creek Street in Brisbane's Golden Triangle. 40 Creek Street provides an excellent value add opportunity with the refurbishment, repositioning and re-leasing of this property in the tightly held Brisbane CBD market.
David Southon, Charter Hall's Joint Managing Director said: "Whilst we are disappointed with PBL Media's decision to withdraw the properties from the market, we are confident of identifying and securing other compelling opportunities in the current market to continue to deliver excellent returns to our investors in our series of opportunity funds. CHOF5 is very well positioned in the current environment, with existing capacity for approximately a further $750 million worth of projects. Given the availability of opportunities and our progress on other transactions, we expect to secure these projects over the next 4 to 6 months."
Mr Southon added further: "We have enjoyed working closely with both R.Corporation and Crane Corp on the Channel 9 transaction and believe that there will be other exciting opportunities that the groups will be able to work together on in the near future."
R.Corporation's Chief Executive Officer, Andrew Rettig said: "R.Corporation and Crane Corp will continue to focus on our project pipelines and will be very active in looking for unique sites to develop."