DEAL ‘IMMINENT’ FOR SOUL BOARDWALK PROPERTY
THE Gold Coast’s retail property cash register is set to ring with one of its biggest transactions this year — the sale of Soul Boardwalk on the Surfers Paradise beachfront.
It is understood a deal is imminent for the prime asset at the base of the luxury 77level Soul apartment tower and could be sealed within the next couple of weeks.
Two groups — one from Australia and the other from China — are believed to have been in due diligence on the retail space that spans 7012sq m across three levels.
The shopping and dining asset has been taken to market by receivers PricewaterhouseCoopers on behalf of lenders Morgan Stanley, National Australia Bank and ING.
More than 100 inquiries were fielded during the expressions of interest campaign conducted by Stewart Gilchrist and Matthew Maynell from Colliers International.
Industry sources said Fortius Funds Management and finance house Ashe Morgan were among the bidders.
Reported price expectations of $90-$100 million have been described as an “absolute stretch” and a range of $75-$80 million was “more accurate”.
“But with that sort of asset and the scale of it you just don’t know,” said another source.
“It’s a bit different because it’s not a traditional anchored centre but it is tourist retail and on the Gold Coast and that could mean anything these days.”
Mr Gilchrist declined to comment on speculation of the parties in due diligence but said more than 10 strong offers had been put on the negotiating table.
He said local, national and overseas groups had shown interest due to the “iconic nature of the location and the tenancy structure”.
Tenants include Ripley’s Believe It Or Not, Hurricane’s Grill and Vapiano.
Almost fully-leased — with only a couple of smaller vacancies remaining — its rental income is “as it stands just under $7 million a year”, Mr Gilchrist said.