Eco-mall on the market
Woolies selling new $20m shopping centre
SEVEN months after opening, a new Gordonvale retail centre is being sold off by a major national supermarket chain.
The Gabuda Gordonvale Shopping Centre opened in July last year after being on the drawing board for the southern growth corridor for more than a decade.
The centre has now been offered up for sale by Woolworths Group.
The new $20m eco-friendly complex has a chequered history amid opposition from Cairns Regional Council that ultimately led to a 2015 Planning and Environment Court battle and a ratepayer legal bill of almost $600,000.
CBRE’s Michael Hedger, Joe Tynan, James Douglas and Danny Betros are managing the sale via an expression of interest campaign, set to close on March 30.
The recently constructed 3880sq m shopping centre is anchored by a 3315sq m lease to Woolworths supermarket and has a fully leased net income of $1.29m per annum, representing a 8.6 year WALE (weighted average lease expiry) income.
“Despite ongoing interest rate rises, the neighbourhood investment sector continues to be a highly-sought-after asset class given the income profiles generally have a high weighting towards non-discretionary retailers and are underpinned by genuine growth,” Mr Hedger said.
Development approvals are in place for a petrol station, quick service restaurant and gym, all of which are yet to be constructed.
Current retailers trading from the centre include Coco Sushi, Malaysia Noodle House, Discount Drug Store and JSL Phone Repairs.
An additional 15,858sq m site over four individually titled lots will be offered for sale at the same time but will be presented to potential buyers in separate transactions to the main centre.
More than 800 rooftop solar panels and a rainwater harvesting system have earnt the new development a Green Building Council of Australia four-star rating in a Far Northern first for Woolworths.
“Our learnings from recent campaigns are that there is a flight for quality in the neighbourhood sector, particularly from private investors as they seek assets with long-term income security,” CBRE’s Mr Tynan said.
The centre occupies a highprofile, 20,580sq m site next to the Bruce Highway.