Highlights

  • BWP Trust has entered an unconditional contract to sell the Chadstone Homeplus Homemaker Centre for AUD 86.025 million, a 1.1% premium to its fair value as of 31 December 2025.
  • The sale represents a realised internal rate of return of 15.21% since the property was acquired.
  • Funds from the divestment will initially reduce drawn debt, with settlement expected in June 2026, ensuring FY26 distribution guidance remains unchanged.

BWP Trust (ASX:BWP) has executed an unconditional contract to sell the Chadstone Homeplus Homemaker Centre in Victoria for AUD 86.025 million. The sale, agreed with a wholly owned subsidiary of Centuria Capital Group (ASX:CNI), represents a 1.1% premium to the property’s fair value of AUD 85.1 million as of 31 December 2025. The transaction is expected to settle in June 2026.

Strategic Property Divestment

The divestment follows an extensive review by BWP management after a recent Bunnings lease extension to 31 July 2030. The review included a public sales campaign that attracted multiple offers from national investors. The transaction supports BWP’s strategic approach to portfolio renewal by optimising asset allocation and maintaining portfolio flexibility.

Financial and Distribution Implications

The extended settlement ensures that FY26 distribution guidance remains unaffected by the divestment. The proceeds are planned to reduce drawn debt, strengthening the trust’s financial position while maintaining expected returns to securityholders.

BWP Trust’s Managing Director, Mark Scatena, confirmed that the divestment is consistent with the trust’s focus on portfolio renewal and maximising asset value through effective asset management.

Market Performance

BWP Trust shares traded at AUD 3.76, up 0.40% for the day. However, the stock has declined 8.19% over the past month and 4.94% on a year-to-date basis. The Chadstone divestment and the accompanying strategic plan are expected to provide clarity on the trust’s asset management direction and financial stability.

Outlook

With the settlement scheduled for June 2026, BWP Trust remains on track to achieve its FY26 distribution guidance. The divestment of Chadstone Homeplus Homemaker Centre demonstrates the trust’s capacity to optimise its portfolio while maintaining predictable distributions to securityholders.