Cromwell Property Group announced the sale of its European fund management platform and co-investments to Stoneweg SA Group for €280 million ($457.7 million).

The sale with Cromwell's strategy to streamline operations and shift towards a capital-light fund management model.

Following the transaction, Cromwell's pro-forma gearing will drop to around 25%, below the REIT sector average.

Pending customary conditions and regulatory approvals, the sale is expected to be finalised in the first quarter of FY25.

Proceeds will primarily be allocated to debt repayment, enhancing capacity for future investments.