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March quarter updates from Listed A-REIT’s

During the week, a number of listed A-REIT’s provided March quarter operating updates, including Mirvac Group (ASX: MGR), Centuria Metropolitan REIT (ASX: CMA), Centuria Industrial REIT (ASX: CIP), Scentre Group (ASX: SCG), GPT Group (ASX: GPT) and Growthpoint Properties (ASX: GOZ). Whilst there were no changes to operating earnings and guidance by the A-REITs, the retail operations of SCG and GPT reported strong specialty sales growth of 2.0%+, boosted by the Easter holidays falling in the March quarter. Other A-REITs are expected to provide March quarter updates over the next few weeks.

GPT’s Wholesale Office Fund (GWOF) has announced the acquisition of 32 Flinders St, Melbourne VIC for $90M on a 2% yield. The 2,087 sqm car park site is part owed by Dexus (ASX: DXS). The site has approval for a dual-tower redevelopment consisting of a 47-level building on Flinders St and a 14-level building fronting Flinders Land behind.

Asia Pacific Data Centre (ASX: AJD) continues to make headlines with the ongoing battle for control over their property portfolio. Back in March 2018, both the tenant NextDC (ASX: NXT) and landlord 360 Capital (ASX: TGP), had placed matching bids to buy each other out at $2.00 per security however, that was short-lived with both parties refusing to engage. During the end of the week, AJD and NXT faced the courts over allegations that NXT denied access for independent valuers, which NXT has refuted. AJD securities continue to remain volatile with low liquidity, whilst the uncertainty for control continues.