Tatts buys Watpac site for $8m

Tatts Group (TTS) has entered into an unconditional contract to buy a Brisbane site from construction, mining services and property development group Watpac (WTP) for $8 million.

In a statement to the Australian Securities Exchange, Tatts said it plans to build its new national headquarters on the site at 11 Breakfast Creek Road in Newstead.

Settlement on the deal is scheduled for September and the transaction was negotiated by Seb Turnbull, national director of sales and investments at Jones Lang LaSalle.

Watpac chief executive officer Martin Monro said the decision to sell is part of the group's strategy to divest property assets and put capital back into existing businesses.

"The transaction is at current book value and while a modest impairment was recorded in FY13, it represents market value," Mr Monro said.