|
|
             |
|
|
| Home > For Investors > Press Releases > David Jones announces $85 million sale of Adelaide Central Plaza development |
|
|
21 February 2000 - David Jones announces $85 million sale of Adelaide Central Plaza development Australian department store retailer, David Jones Limited, announced today that it had entered into a formal contract for the $85 million sale of the Adelaide Central Plaza project currently under construction in Rundle Mall, Adelaide's premier shopping precinct. The development has been sold to the Precision Group of Companies which are associated with businessmen, Mr Ross Makris and Mr Shaun Bonett, in conjunction with the involvement of Melbourne interests represented by Mr Michael Czarny of Meerkin and Arpel lawyers of South Yarra. The acquisition is being funded by the institutional banking section of the Commonwealth Bank of Australia. FPD Savills has acted as broker in the transaction. David Jones was represented by Phillips Fox, Sydney and the Precision Group was represented by Tony Britten-Jones of Cowell Clarke. Adelaide Central Plaza - the largest Adelaide CBD retail development in more than a decade - is on target to be completed and opened by September this year when the new owners will take control of the project. The six-level project will be one of the most modern retail complexes in the Southern Hemisphere. It includes a world class David Jones department store and some 40 specialty shops, linking Rundle Mall with the city's premier cultural boulevard, North Terrace. "Adelaide Central Plaza will bring to Adelaide the very latest and best-of-world in retailing, and will make a significant contribution to the CBD shopping precinct," Mr Peter Wilkinson, Chief Executive Officer of David Jones, said today. "We have also ensured that the North Terrace frontage - including the recently-announced sculpture - blends in with the architecture of the area," he said. Mr Wilkinson said the Adelaide Central Plaza sale price achieved covered both the book value of the property and the planned development costs. "The sale is most pleasing and reflects the particularly strong investment interest currently evident in Adelaide CBD property investment," he said. "It is not only pleasing financially for the David Jones group but we are very happy that the new owners of both our existing Rundle Mall site and the Adelaide Central Plaza development are clearly focused on progress in the Adelaide CBD." Mr Wilkinson said David Jones was undertaking a long-term lease for its new Rundle Mall store and looked forward to playing a key role in the future success of the Adelaide Central Plaza project. "Our flagship Adelaide store will set a new retailing standard in Adelaide and will be part of an expanded David Jones presence across five Australian states," he said. Mr Wilkinson said leasing interest in the 40 specialty shops within the Adelaide Central Plaza remained strong and was expected to result in some additional shopping "firsts" for the Adelaide CBD. More than 200 workers are currently employed on the new project, with on-site jobs expected to peak at over 300 by March this year. Around 60 South Australian suppliers have so far been involved in providing materials and trade skills during the construction phase. The Adelaide Central Plaza retail complex - with frontages to Rundle Mall and North Terrace - will contain a total trading area of 31,500 square metres, comprising the four-level world class David Jones department store of 26,000 square metres (including a food hall) and the 40 specialty shops. When it opens this year, David Jones will employ up to 450 people in the new store with the specialty outlets generating another 100-to-150 full time jobs. |
|
|
||||||||||||||||
|
||||||||||||||||
|
