Lendlease announces divestment of Australian retail portfolio to maximise value for APPFR unitholders
Sydney, 17 November 2025: Lendlease Real Estate Investment Limited, as the responsible entity for the Australian Prime Property Fund Retail (APPFR), notes that the liquidity window for the Fund is now closed.
Given the strong market for high-quality retail assets and level of redemption requests received, the Trustee has proposed to maximise value for all unitholders through an orderly realisation of the retail portfolio. Lendlease is supportive of the Trustee’s strategy, which may result in Lendlease exiting its co-investment, alongside other unitholders.
With a portfolio of superior regional assets, the liquidity strategy will seek to maximise value through competitive processes in the context of a buoyant Australian retail market as evidenced by recent transactions, including a strong outcome expected for the Fund’s divestment of Erina Fair.
APPF Retail has consistently delivered strong returns for unitholders, most recently achieving a 9.5% return to 30 September 2025, on a rolling 12-month basis.
The $2.9 billion APPFR fund includes five high-quality assets, with APPFR holding a 50% stake in each. They are Sunshine Plaza, Lakeside Joondalup, Macarthur Square and Westfield Carindale, with Erina Fair being divested in a separate process.
Quotes attributable to Vanessa Orth, Managing Director Investment Management Australia, Lendlease
“APPF Retail has consistently delivered strong long-term returns for unitholders, most recently delivering a 9.5% return for the 12 months to 30 September 2025. The Fund’s assets are located in strong growth markets and dominate their trade areas. Premium assets like these are difficult to acquire, with an IRR outlook for the portfolio in excess of 11%.
“As responsible entity for the Fund, we’re committed to best practice governance and acting in the best interests of all unitholders, seeking to maximise unitholder returns.
“The Group’s retail strategy going forward will focus on the growth of its international retail platform, including some $10 billion in additional retail funds under management, its urban retail precincts, and new and existing domestic and international mandates.”
ENDS
For more information:
Tessie Vanderwert, GM Corporate Affairs Lendlease
M: +61 428 483 828 E: tessie.vanderwert@lendlease.com
