Centro Retail Australia (CRF) sold its 50 per cent ownership stake in three regional shopping centres – Galleria in Perth, The Glen in Melbourne and Colonnades in Adelaide – to Perron Group.

The co-ownership, which is worth $690.4 million, will see CRF provide property management, development and leasing services from its management platform.

Steven Sewell, CRF chief executive officer, said: “Entering into this strategic alliance with Perron Group is a redefining event for CRF. The Perron Group is privately owned and had the flexibility to make this compelling offer early in the transaction process. Their ability and willingness to commit to this transaction in such a condensed time frame is a testament to the quality of the CRF assets and management team.”

According to Sewell approximately $685 million will enable CRF to reduce gearing to approximately 26 per cent.

“[This will be] setting CRF in a position to progress with its pipeline of redevelopment projects across its portfolio of quality Australian shopping centres,” he said.