A Brisbane neighbourhood shopping centre is heading for a $55-million sale—and the proposed price is more than $20 million above its last reported transaction.
Westbridge Funds Management plans to aquire Robinson Road Marketplace from Re-Grow Retail Property Trust under the deal.
The sale is in due diligence, according to JLL, who are handling the deal, and has not yet gone unconditional, giving opportunity for either party to withdraw or renegotiate.
JLL marketed the centre, 12km north of the CBD at Aspley, through an expressions-of-interest campaign that closed on October 1.
The asset offers 11,400 square metres of gross lettable area on a 1.94ha site, net income of about $3.74 million a year and a weighted average lease expiry of just over four years.
Westbridge put the acquisition rate at $4825 a square metre of lettable area.
To be added to the Westbridge Aspley Property Fund, the buyer reported an initial yield of 8.01 per cent. It also reported that Coles had extended its lease to 2038 and that the deal included a two-year rental guarantee on vacant space.
Promotional material linked to the fund said the centre was being bought at about half its estimated replacement cost. That figure has not been independently verified.
The $3.74 million net income in JLL’s campaign materials equates to a yield of about 6.8 per cent on the implied price. The difference from the reported 8.01 per cent may reflect the rental guarantee or a different method of calculation. Westbridge did not say how it reached the figure.
The centre, then known as Aspley Village Shopping Centre, was last reported on by The Urban Developer in 2015 when Excel Development Group bought it from Abacus Property Group for $32.25 million .
JLL senior director Jacob Swan and senior executive Ned McKendry handled the sale.
