Australian Prime Property Fund Retail

Established in 1989, the Lendlease managed Australian Prime Property Fund Retail (APPF Retail) is a core wholesale unlisted property trust, allowing institutional investors to benefit from exposure to a portfolio of prime direct retail properties across Australia. The Fund seeks to deliver its target return and superior risk adjusted core returns to unit holders through the long term ownership, development and repositioning of quality diversified, predominantly core Australian retail real estate assets.

Investment Strategy

The Fund invests in predominantly in quality Major-regional and Regional shopping centres across Australia, which:

  • Are key retail facilities in their trade area;
  • Exhibit above average market characteristics; and
  • Have the capacity to be expanded over time.

Property Portfolio

APPF Retail is the largest pure play wholesale retail fund in the Australian market with gross assets of A$4.9 billion.

Its property portfolio comprises interest in 12 predominantly Major-regional shopping centres, with circa 2,800 tenants.

In 2015 the Fund was recognised as the number one regional retail fund across 11 retail specific funds in Australia in the 2015 Global Real Estate Sustainability Benchmark (GRESB) Survey.

Lendlease Advantage

APPF Retail leverages Lendlease’s integrated end-to-end business model, providing asset management, development, construction and project management expertise.

Critical to the management of these centres is the master-planning process which is a preferred and proven growth model that incorporates the needs of the current retail asset and the surrounding community.

Recent and current APPF Retail projects that have been, or are being developed and constructed by Lendlease include:
 

Macarthur Square

New South Wales

The A$240 million redevelopment will create south west Sydney’s largest shopping centre. It will include an additional 16,000 square metres of retail space, 45 new specialty stores, a new spacious al fresco dining precinct, plus the region’s first international retailer. APPF Retail owns 50% of the asset.

Lakeside Joondalup

Western Australia

The A$320 million redevelopment created the largest shopping centre in Western Australia. This transformed the centre into a 100,000sqm GLA Major-Regional asset. It included a 12,000sqm Myer, Perth’s first next generation Coles, an Aldi supermarket, Western Australia’s first H&M store, and 800 additional parking spaces. APPF Retail owns 50% of the asset, alongside a mandate client.

Craigieburn Central

Victoria

Located in one of the fastest growing suburbs in Melbourne, the Lendlease built 50,000 sqm shopping centre includes: three supermarkets - Coles, Woolworths and Aldi, two discount department stores - Big W and Target, a diverse range of specialty, service and convenience stores as well as over 2,600 car spaces. APPF Retail owns 75% of the asset.

Responsible Property Investment

APPF Retail has a vision to be recognised as the leader in the delivery of ESG outcomes in the Australian unlisted property sector. It acknowledges the sustainability aspirations of the broader Lendlease Group and is aligned with Lendlease’s key sustainability objectives. 

The Fund has had a Responsible Property Investment strategy in place since 2009.
Global Real Estate Sustainability Benchmark (GRESB)
APPF Retail has participated in the Global Real Estate Sustainability Benchmark since 2011.

In 2015 the Fund was recognised as the number one regional retail fund across 11 retail specific funds in Australia in the 2015 Global Real Estate Sustainability Benchmark (GRESB) Survey. The Fund was also ranked 9th out of all 707 global participants. 

The Fund’s global ranking of 9th has exceeded its stated 2018 target of ranking in the top 10 of all GRESB participants globally. 

   2011 2014  2015 2015 Change
GRESB Scores        
Overall Score  63% 80% 88% +8%
Management & Policy  74% 98% 98% -
Implementation & Measurement  59% 75% 84% +9%
GRESB Rankings        
All GRESB participants  41 of 339 15 of 637 9 of 707 +6 places
Global, retail  12 of 67 - 2 of 123* -
Oceania, retail  - 1 of 13 1 of 13 -