Two North Queensland retail centres sold for $23.75 million through Savills

Two North Queensland retail centres sold for $23.75 million through Savills
Two North Queensland retail centres sold for $23.75 million through Savills

A Melbourne-based syndicator has secured two North Queensland retail centres in a combined deal worth $23.75 million.

The Rising Sun Shopping Centre in Townsville and the Town Plaza centre in Charters Towers were sold through an expressions of interest campaign by Savills.

The blended initial yield works out to be around 7.5%.

The 9,393 square metre Rising Sun Shopping Centre at Mundingburra, six kilometres from Townsville CBD, is anchored by a 2,243 square metre Coles supermarket, with 11 specialty shops including Subway, Brumby’s Bakery and Chemist.

The 7,782 square metre Town Plaza Shopping Centre in Charters Towers, 137 km from Townsville, has a 2,579 square metre Woolworths supermarket with nine specialties including Suncorp, Millers and Rockmans.

The deal was brokered by Peter Tyson and Jon Tyson of Savills for MAB Funds Management Ltd. 

Fawkner Property purchased the properties, bringing the total assets under management to more than $150 million.

The information memorandum forecast 100% tax-effective distributions of 7.5% for the 2106 financial year.

"The market liked the strong economic background story associated with the Townsville Region given the diverse employment generators of the region which includes defence, education, mining, tourism and grazing," said Jon Tyson.

"This backdrop coupled with the Coles and Woolworths anchors and relative affordable price point of the assets generated wide ranging buyer interest."

“Property syndicates are especially attractive to the trustees of self-managed superannuation funds, looking for steady monthly income,” said Fawkner MD Owen Lennie.

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Commercial Sales Retail Sale

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