Skip to content
AidData logo

Overview

Bank of China provides a $1.65 billion AUD loan to China Investment Corporation for its acquisition of the Investa Property Trust

Commitments (Constant USD, 2023)$1,296,289,515
Commitment Year•2015Country of Activity•AustraliaDirect Recipient Country of Incorporation•China (People's Republic of)Sector•Business And Other ServicesFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 1, 2015
Start (actual)
Jan 1, 2015
End (actual)
Jan 1, 2015

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% Chinese ownership

Funding agencies

State-owned Commercial Banks

  • Bank of China (BOC)

Receiving agencies

State-owned Funds

  • China Investment Corporation (CIC)

Loan description

Bank of China provides a $1.65 billion AUD loan to China Investment Corporation for its acquisition of the Investa Property Trust

Interest type•Unknown

Narrative

Full Description

Project narrative

On July 27, 2015, Chinese sovereign wealth fund China Investment Corporation (CIC) entered into an agreement with Morgan Stanley Real Estate Investing (MSREI) to purchase Australian real estate development Investa Property Group's portfolio of nine office towers (known as Investa Property Trust) for $2.45 billion AUD. Then, sometime in 2015, the Bank of China (BOC) entered into a $1.65 billion AUD facility agreement with CIC to finance the acquisition. Investa Property Trust consisted of interests in nine office towers, primarily in Sydney, New South Wales and Melbourne, Victoria, including 120 Collins Street, Melbourne and Deutsche Bank Place at 126 Phillip Street, Sydney and had a fully let income of about $145 million AUD as of March 2016. Under the agreement, MSREI would retain management of the Investa Office portfolio via an investment management agreement with CIC International Co., Ltd. At the time of the acquisition, the acquisition was the largest direct real estate transaction in Australian history. The acquisition was completed in 2015.