The highly anticipated Ascot Vale Woolworths Metro Supermarket has hit the market as agents prepare a sales campaign on behalf of award-winning developer, Pace Development Group, led by Shane Wilkinson.
The 1,894 sqm store, Woolworths’ largest in this format for Victoria, has been a welcomed addition by the local community and has plugged an important hold for shoppers needing a more convenient supermarket offering in proximity to their residence. Ascot Vale, just 5km from the Melbourne CBD, is widely regarded as one of the darling suburbs of Melbourne’s inner north with a high proportion of its population being white collar.
Stonebridge Property Group’s Justin Dowers, Rorey James and Kevin Tong together with JLL Retail Investments’ Stuart Taylor, Tom Noonan and MingXuan Li have been appointed to run the public expression of interest campaign, closing in the first week of June.
The supermarket will be sold with the benefit of 3 additional speciality shops providing income diversity and complementary retail offerings for shoppers. The shopping centre is located on the ground floor of a mixed-use development which comprises 76 apartments, 4 townhouses and ample car parking for residents and a dedicated car park for the retail offering.
Pace Development Group’s Commercial Director, James Simpson said “We are delighted to have delivered another successful mixed-use project of which a serious component comprises a Woolworths Supermarket. We have delivered multiple projects of this calibre and are excited to offer yet another high-quality retail investment to market and provide the successful buyer with a secure and lucrative income stream stemming from one of Australia’s most well-known retail tenants.”
Justin Dowers, Partner of Stonebridge Property Group said “Woolworths have shown their commitment to the area through the signing of a new 12 year lease, which will see them adjoin their Dan Murphy’s store across the road, a strong sign of their confidence in Ascot Vale and this location specifically. They have been waiting for the right opportunity and these don’t come up often.”
Stuart Taylor, Senior Director of Retail Investments at JLL said “We are anticipating significant interest in the asset, driven by defensive nature of the income streams, underpinned by the attractive new 12 year Lease to Woolworths Group Ltd. Investor sentiment for long lease assets has never been stronger, fuelled by a positive interest rate environment and flight to quality.” If the start to 2021 is anything to go buy, investors have made it very clear of their strong desire to acquire quality income producing assets leased to non-discretionary, long leased national tenants – all credentials of which are found in this offering.
“Assets of this calibre are rarely offered to the market, with the property providing an investor the opportunity to own a brand-new supermarket in an affluent catchment, only 5kms from the Melbourne CBD” Taylor added.
The entire shopping centre provides 2,300 sqm of ground floor retail area and the successful purchaser will also benefit greatly from the 64 secure basement car parks on title. The asset provides a net annual return of $902,682.
Expressions of Interest are due by Thursday 3rd June 2021 at 3pm.
