Arcana acquires new asset
BRISBANE-based Arcana Capital has swooped on a prominent retail convenience centre located in the Brisbane bayside suburb of Redland Bay.
The property was sold for $15.6 million following an expressions of interest campaign handled by Jon Tyson and Michael Harcourt of Savills, which attracted more than 150 inquiries and multiple offers, reflecting a yield of about 7.35%.
Rededge Redland Bay Shopping Centre incorporates a mix of complementary uses, including a medical centre, chemist, dentist and newsagent, plus a range of food retailers and service tenants.
Mr Tyson, Savills director of retail investments in Queensland, said the sale of the shopping centre continued the strong run of convenience shopping centre sales in the suburban Brisbane market.
“Convenience-based centres in high-profile locations with main road exposure are one of the best performing sectors of the buoyant retail investment market,” Mr Tyson said. “In particular, well-established centres with a popular supermarket offering and quality mix of supporting tenants are very highly sought after by investors.”
Set on a 5171sq m site on the corner of Cypress St and School of Arts Road at Redland Bay, the centre benefits from high-profile exposure and access to the area’s main arterial Cleveland-Redland Bay Rd.
Campbell Newman, a director of Arcana Capital, said the Rededge Redland Bay Centre presented a rare opportunity to acquire a dominant local convenience centre.
“Anchored by a strongly trading IGA, Rededge has a dynamic balance of retail, medical, service, education and food tenants,” Mr Newman said.
Mr Harcourt said the sale of the shopping centre was the latest of eight Queensland convenience centre transactions by Savills Retail Investments so far in 2017, with more than $100 million in convenience centre deals either settled or under way. This transaction represents the second time Savills have sold the convenience centre, having previously sold the property to the vendor in 2014 on behalf of the centre’s developer.
For further information contact Mr Tyson on 0424 506 124.
STRONG INTEREST: Rededge Redland Bay Shopping Centre was sold for $15.6 million.