Deals of the Week - 8th May 2023

Pictured above: Village Lakeside Shopping Centre, Pakenham

Victoria

PAKENHAM - Undisclosed

Village Lakeside Shopping Centre in Pakenham has sold in what is the first neighbourhood shopping centre to transact in Victoria in 2023.

The asset was sold on behalf of MPG Funds Management Ltd, which owns the asset as part of their MPG Retail Brands Property Trust, and acquired by an offshore private investor for an undisclosed purchase price.

The sale was brokered by JLL’s Stuart Taylor, Tom Noonan and MingXuan Li via a public expression of interest campaign.

There has been a notable increase in offshore capital activity in the past 12 months, with 3 of the last 5 Victorian neighbourhood shopping centres selling to Chinese private investors.

SOUTH YARRA - $8 million

A substantial four-level permit approved development site at 1-17 Adams Street has sold. 

The 774 sqm corner landholding, with General Residential Zone, has a permit approval for a four-level project comprising seven luxury apartments in the prestigious apartment market of South Yarra.  

Stonebridge Property Group’s Julian White and Chao Zhang handled the sale, which was acquired by a local developer for $8,000,000, reflecting a unit rate of more than $1,100,000 and NSA rate over $5,100/sqm. 

MOONEE PONDS - $2.95 million

A local owner has jumped on a two-level freehold retail asset in Moonee Ponds.

Fitzroys’ Chris Kombi and Ervin Niyaz sold 43 Hall Street for $2.95 million under the hammer on behalf of a local private investor who had owned the property for 47 years. 

The 233 sqm site is within a valuable Activity Centre Zone and has 10 metres of frontage. It comprises a fully-leased 320sqm building with two ground-floor shops and two first-floor offices, with four on-site car parks at the rear. The property sold on a tight 3.7% return on the net passing rental. 

RESERVOIR - $3.3 million

Burgess Rawson’s David Napoleone and Matthew Wright have brokered the sale of a heritage church located at 34 George St.

Purchased by not-for-profit housing developer, Ys Housing for $3.3 million and was offloaded by the Uniting Church. Mr Napoleone commented that the property was the perfect fit for Ys Housing, which is dedicated to the design and development of high-quality, affordable housing in Melbourne. 

BLACKBURN SOUTH - $2.471 million

A unique tennis courts site at 12-14 Rosslyn Street was the second asset to be sold by the Uniting Church in the past week. 

Also brokered by Burgess Rawson's David Napoleone and Matthew Wright, in conjunction with Barry Plant Whitehorse's Michael Steenhuis and St John Cranna.

Interestingly, the asset was not sold to the highest bidder, with the successful buyer being a tennis club/academy that intends to retain the tennis court and use it as designed, which the Uniting Church found attractive.

New South Wales 

MOREE - $33 million

Welbon station, a 4,784-hectare sheep farm in Northern NSW, has been offloaded by the Carrigans after owning it for 100 years.

Purchased at auction by local farmer, Andrew Yates, the property came with a flock of 4,500 Merino sheep. The deal was handled by Ray White Rural Moree's Ed Wisemantel.

McMAHONS POINT - Circa $29 million

The Commodore Hotel has been offloaded by John Azar's Good Beer Company, in a deal brokered by JLL's Ben Mcdonald, Kate MacDonald and John Musca.

Found in the sought-after McMahons Point, the hotel was purchased by Meridian CEO & founder and up-and-coming publican, Glenn Piper. The hotel currently houses an indoor bar, a large outdoor terrace, a restaurant and a gaming house, additionally, the hotel came with DA-approved plans for a new gaming room.

ROSEBERY - Circa $5 million

After coming on the market for the first time in 50 years, a childcare centre in Rosebury has sold to a local childcare operator.

Located at 24-36 Dalmeny Avenue, the asset came with approval for a 59-place childcare centre, which sparked a competitive Expressions of Interest campaign that saw 150 enquiries.

The deal was brokered by Ray White Commercial Sydney City's Samuel Hadgelias, Leslie Li and Baxter van Heyst.

Queensland

ASCOT - $12.1 million 

After a sales campaign that attracted over 300 enquiries from local, interstate and overseas investors, the IGA Marketplace in Ascot has sold for $12.1 million, reflecting a yield of 4.88%.

In a deal brokered by Ray White Commercial QLD's Michael Feltoe and Lachlan O'Keeffe, the asset sold at auction in a tight completion between 9 bidders, with over 270 onlookers, both in the auction room and online.