The Woolworths Group Ltd (ASX: WOW) share price is edging higher on Thursday, rising 0.60% to $36.60.
The gain further adds to a strong run this year, with Woolworths shares now up around 24% in 2026.
Today's move comes as new details emerge around a significant property deal involving the sale of multiple shopping centres by the supermarket giant.
Let's take a closer look at the media report.
Image source: Getty Images
$500 million property deal comes into focus
According to The Australian, Woolworths has agreed to sell a portfolio of 10 neighbourhood shopping centres. The portfolio is being acquired by investment firm Forest Endeavour for more than $500 million.
The portfolio includes supermarket-anchored retail sites across multiple states, with a mix of operating assets and under-development assets.
Woolworths is expected to remain the anchor tenant across the locations.
Why Woolworths is selling these assets
This deal shows how Woolworths is managing its capital.
By selling the property but keeping its stores in place, the company can bring in cash without changing how it operates day-to-day.
That cash can then be used in other parts of the business, such as store upgrades, logistics improvements, and technology investments.
It also means less money is tied up in owning property over the long term.
Woolworths' director of property development, Andrew Loveday, said the group has seen strong demand for supermarket-linked assets, highlighting the value of its property portfolio.
Why investors want these assets
This deal also reflects what is happening in the property market.
Shopping centres with major supermarkets are seen as more reliable because they bring steady foot traffic and consistent spending on everyday items.
The report notes that both local and offshore investors have been active in this space, looking for stable and predictable income.
Forest Endeavour, backed by Asian investors, has been growing its presence in Australian retail and hospitality assets.
The portfolio covers sites from Queensland to Tasmania and includes a mix of open-air centres and development projects.
Foolish bottom line
While the company is focusing on using its capital more efficiently, its core supermarket network remains unchanged.
In addition, by selling property but remaining the tenant, Woolworths can reduce capital tied up in long-term assets and improve financial flexibility.
The share price has already been trending higher this year, and moves like this show what's driving it.
Woolworths currently has a market capitalisation of around $44.6 billion and sits among the top 20 companies listed on the ASX.
