Flagstone City. Source: Peet
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  • Peet (PPC) agrees to buy the remaining interest in the Flagstone City project in Queensland
  • The real-estate development company will buy Spirit Super’s 50 per cent interest for $46.15 million, with settlement expected to be completed January 19
  • Once complete, Flagstone will cover 126 hectares, with 44,000 square metres of retail space and 58,000 square metres of office space
  • On the market for the last morning of 2021, Peet was unchanged at $1.07 per share

Peet (PPC) has agreed to buy the remaining interest in the Flagstone City project in Queensland from Spirit Super.

The real-estate development company will buy Spirit’s 50 per cent interest for $46.15 million, paid in four instalments over three years, with settlement expected to be completed January 19.

Flagstone is the centrepiece of the greater Flagstone Priority Development area, selected by the Queensland Government to fast track the supply of housing and infrastructure in one of South-East Queensland’s fastest growing corridors.

Once completed, Flagstone will cover 126 hectares, with 44,000 square metre of retail space and 58,000 square metre of office space, with a proposed interstate rail service running through the middle.

The payment will be paid in four instalments over three years and will commence on the settlement date.

Additionally, Peet will assume an additional $21 million of debt, representing Spirit Super’s share of the project’s development loan.

Peet Managing Director and CEO Brendan Gore said the investment was expected to be earnings accretive from settlement.

“This acquisition will give Peet 100 per cent ownership of the more than 10,500 remaining lots with a GDV of around $3.4 billion in Flagstone, in Brisbane’s south east growth corridor,” he said.

“Flagstone is a developing asset that is currently generating profits and operating cash. This additional investment is therefore expected to be earnings accretive from settlement.”

On the market for the last morning of 2021, Peet was unchanged at $1.07 per share at 10:01 am AEDT.

PPC by the numbers
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