Australian REIT, Growthpoint Properties Ltd (ASX:GOZ), has entered into contracts to sell two assets in its property portfolio, as part of its capital management initiative.
Growthpoint has sold a 12,980 sqm office building at Nundah, Queensland, to Centuria Property Funds for $106.25 million.
The REIT also sold an 8,680 sqm industrial facility at Yatala, Queensland, to a private investor for $10.65 million.
Growthpoint says both sale prices exceeded their respective book values by 3% each, as at 31 December 2016.
Growthpoint will use these sales to pay down existing debt, reducing its gearing ratio to 39.4%.
Yesterday, Growthpoint shares closed 1.46% lower at $4.72.