BURLEIGH FAST-FOOD CENTRE SELLS FOR $7.91M
Red Rooster Centre next to Treetops Plaza goes to recently formed investment group after huge interest from syndicates and private investors
LONG-TIME Burleigh developer John Hembrow has sold the Red Rooster Centre, a fast-food precinct next to his Treetops Plaza shopping centre at Burleigh Waters.
The property has been bought from Mr Hembrow’s Rayjon group by the nine-month-old Charter Hall Direct Diversified Consumer Staples Fund for $7.91 million.
Another Charter Hall entity, the Retail Real Estate Investment Trust, owns the Coomera City shopping centre at Upper Coomera, bought for $59.2 million in 2014.
The Red Rooster Centre, apart from a drive-through Red Rooster store, houses a Subway shop and Mexican, Japanese, burger and fishand-chip outlets. The centre has a net lettable area of 685sqm and sits on a high-exposure site on the corner of Reedy Creek Rd and Bermuda St.
It has net income of $460,000 and has sold on a 5.8 per cent yield.
Peter Tyson, national director of retail investments for Savills Australia, yesterday said the centre had draw enormous interest.
“We had 270 inquiries, most of them from private investors and some from syndicators,” he said.
Mr Hembrow, a civil engineer, opened Treetops in 1992 on land owned since 1981.
Seven years ago he gained development approval for a masterplanned community, Urbia Burleigh, on the 3.7ha site.
The masterplan allows the shopping centre footprint to be expanded and the development of office buildings and 650 apartments in towers of up to 20 levels. The Treetops property was put on the market in 2016 and later withdrawn.