Entire Collins Square project attracts four offers

Entire Collins Square project attracts four offers
Entire Collins Square project attracts four offers

The marketing of Lang Walker's $2.5 billion Collins Square project in Melbourne saw adviser UBS draw up a shortlist on Friday. 

The Australian Financial Review Street Talk column suggested more than 25 parties trawled through the data, with four offers made on the entire portfolio and six groups submitting bids on individual assets.

Three bidders will be ushered through to the second round in coming weeks, sources said. 

LaSalle Investment Management is in the mix while sovereign wealth fund China Investment Corporation, which last week formed a real estate department and doubled its allocation to property, is a logical bidder. 

Mirvac Group is understood to have considered a couple of the assets, and could potentially team up with CIC.

The newspaper added there was Canadian and South African interest including listed real estate giant redefine Properties.

The initial plan was to sell Collins Square in one line, but it is now most likely going to be broken up. 

Street Talk suggested Tower 1, which houses CBA and Transurban, was the most popular with sources suggesting the yield on that asset could break the 5 percent barrier.

Jonathan Chancellor

Jonathan Chancellor

Jonathan Chancellor is one of our authors. Jonathan has been writing about property since the early 1980s and is editor-at-large of Property Observer.

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Collins Square Portfolio Sale

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