FKP sells Browns Plains commercial precinct to Engage Capital

Jonathan ChancellorFeb 25, 2013

FKP Property Group has sold a mixed-use retail and commercial office precinct at Browns Plains in Queensland to Engage Capital for $27 million.

The sale price of the 1.6-hectare Village Square (highlighted in red, below) was sold at $3 million below FKP's book value from June last year.

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The Village Square is set within a precinct that also include Bunnings Warehouse, The Good Guys and Spotlight.

FKP has also sold a 15-level, A-grade commercial office building at 465 Victoria Avenue, Chatswood, to Hines Global REIT for a gross price of $92 million.

FKP executive chairman Seng Huang Lee said the divestments "demonstrate management's focus on narrowing the gap between our current security price and NTA and are in line with our 'back-to-basics' strategy to simplify our business and strengthen our balance sheet."

Jonathan Chancellor

Jonathan Chancellor is one of Australia's most respected property journalists, having been at the top of the game since the early 1980s. Jonathan co-founded the property industry website Property Observer and has written for national and international publications.