Caboolture shopping centre sells for $8 million

A shopping centre in Sandstone Point, 45 kilometres north of Brisbane, has sold for $8 million to a private investment syndicate.

The Village Shopping Centre, at 204-208 Bestmann Road, was sold by vendors POD Developments Pty Ltd.

Jones Lang LaSalle agent Sam Hatcher said the listing attracted strong interest.

“We received excellent interest from local and interstate investors and syndicators, attracted to the security of income, given 80% of the income for the centre is generated by three large and secure tenants,” Hatcher says.

“At the close of the expressions of interest campaign we had five strong offers and promptly agreed terms.”

The centre has an IGA supermarket and seven retail tenancies with a gross lettable area of 2,287 square metres.

There are 158 car-parks a medical centre, a newsagency and a hair salon.

“A strong attraction to the offering was the secure lease covenants with a mix of national and local retailers,” Hatcher says.

The centre is located between the Pebble Beach recreation reserve and the Pebble Beach retirement community village.

The centre has a weighted average lease expiry of more than of nine years.

The deal was negotiated by Sam Hatcher and Jacob Swan.

Hatcher says the side has a future expansion potential of 500 square metres of net lettable area.

The property earns $753,465 per year when fully leased.

The vendor bought the site in 2005 for $1.1 million and then built the centre in 2006.