TENANTS JOIN IN CIRCLE AT JUST THE RIGHT TIME
Cavill shopping centre’s interesting mix of restaurant and office arrivals a boon ahead of important expressions-of-interest campaign, which starts next month
NEW office and restaurant tenants at the Circle on Cavill shopping centre have given the asset a boost ahead of a marketing campaign that starts next month.
Owner EG Funds Management, which acquired the property for about $40 million more than seven years ago, put the centre on the market as it shifts focus to its proposed Wanderlust twin-tower development in the heart of the Surfers nightclub precinct.
The Circle on Cavill shopping centre, which recently underwent a $13 million refurbishment program, has attracted a range of new tenants recently including White Rhino, Poke California, Holey Moley minigolf and Strike bowling.
The centre, which has a WALE (weighted average lease expiry) of 6.6 years, has more than 12,364sq m of net lettable area including 2500sq m of office space.
Sydney-based EG acquired the property in a receivership deal in 2011. The latest tenant is valuation firm Herron Todd White, which has signed a seven-year lease with a fiveyear option for 360sq m at $400sq m gross plus GST ($144,000 per year).
Circle on Cavill also counts Colliers International and Holmes Institute Gold Coast as tenants.
CBRE Gold Coast director Nick Selbie, who negotiated the HTW lease, said EG’s refurbishment program had cut the office vacancy rate from 50 per cent to just 17 per cent in the past five years. One 427sq m tenancy remains for lease.
“EG has refurbished the whole office space as well as offered competitive market incentives,” he said.
Herron Todd White Gold Coast director Ryan Kohler said many current staff had fond memories of working in Surfers Paradise as cadets when the firm was at 50 Cavill Ave.
“There is a desire to get back into the action,” he said.
“We have a lot of clients and contacts in that area.”
Mr Kohler said HTW had previously been based at 47 Ashmore Rd, Bundall, for eight years.
He said, while the move to 360sq m meant a smaller space, it was better quality and there was no need for as much space as in the past.
Sam McVay, of McVay Real Estate, and JLL’s Sam Hatcher and Jacob Swan are marketing the Circle on Cavill shopping centre, anchored by a Woolworths shopping centre, in an expressions-of-interest campaign that starts next month.