SYDNEY, AAP – Qantas will use a $802 million land sale to reduce debt and may yet move its headquarters to the same divested property.
The carrier is selling a largely undeveloped 14 hectares in Mascot, Sydney, to help shore up its finances following the COVID-19 downturn.
A LOGOS Property Group consortium including AustralianSuper emerged as the buyer from 18 bids.
Qantas is talking to the group about developing the site so it could be leased for company operations.
Airline boss Alan Joyce said Qantas’ headquarters, training and distribution centres could be combined to sit next to the airport.
These operations are currently spread across Mascot.
Qantas management will decide next year whether to ask for the land to be redeveloped.
The airline and property group will also decide whether to swap three more hectares of land which adjoin the site. This would increase the sale value to $1 billion.
A Qantas property review this year found no need for the airline to develop the land.
Settlement is expected in the first half of the financial year.
Shares on the ASX were up 1.7 per cent to $5.67 at 1404 AEDT.