Sugarworld Shopping centre in Cairns changes hands for $24.75 million

A Coles-anchored neighbourhood shopping centre in Cairns has sold to Shopping Centres Australia for $24.75 million. 

Sugarworld Shopping Centre is a convenience-based neighbourhood centre, 15 km south of the Cairns CBD.

Apart from Coles, it has 12 specialty retailers and a Coles Express service station pad site.

The deal was negotiated by JLL’s Sam Hatcher and Jacob Swan on behalf of IRAPT.

“The Coles Supermarket (also encompassing Liquorland and Coles Express outlets) accounts for 66% of the shopping centre’s fully leased net income, and has a strong 3.7% MAT year on year growth,” said Sam Hatcher.

The centre is expected to continue from the forecast 3.7% average annual population growth in the main trade area till 2031.

National director of Retail Investments, Jacob Swan said, 

It has a 10.91 year WALE (by income) while Coles is on a 20-year lease, offering long-term secure income.

Neighbourhood transaction volumes in Queensland increased by 15% in the last 12 months to September 2017 despite being 10% lower on a national basis over the same period.