ATO Building, Albury, NSW
ATO Building, Albury, NSW. Photo – Doma Group.
  • CLW to acquire 50% interest in four government-occupied properties
  • The REIT has also bought 100% of an Ampol-anchored retail centre
  • Financed through fully underwritten capital raise of $250M, rest in debt

Charter Hall Long WALE real estate investment trust (ASX: CLW) announced today that it has entered into agreements to acquire 50% interests in the following four government-occupied properties:

  • the Services Australia Building in Tuggeranong, ACT for $153 million;
  • the ATO Building in Box Hill, Vic for $115 million;
  • the Red Cross Building in Alexandria, NSW for $79.5 million; and
  • the ATO Building in Albury, NSW for $42.5 million

This will raise CLW’s exposure to government tenants from 16% to 21%.

Tuggeranong-ACT
The Services Australia Building, Tuggeranong-ACT. Image supplied.

In addition, CLW also announced it has settled the acquisition of a 100% interest in the Ampol-anchored Redbank Plains convenience retail centre, QLD for $25.4 million.

To partially fund the deal, the group plans to raise $250 million through a fully underwritten 1-for-10.68 accelerated non-renounceable entitlement offer, at $4.65 per security.

CLW’s largest shareholder, Charter Hall Group, will commit to $29 million in the equity-raising.

The remaining will financed from existing debt facilities, to the tune of $197 million.

Shares in CLW were put in a trading halt at $4.81.

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