Park Ridge Town Centre Changes Hands for $86m

A suburban town centre south-west of Brisbane has sold in one of the biggest neighhbourhood shopping centre transactions in Queensland.

A private investor has splashed $86 million to acquire the Woolworths and Coles anchored shopping centre, demonstrating the resilience of non-discretionary retail assets.

Property syndicator RG Property acquired the site in 2012 and completed a major extension and upgrade to the centre to include a Coles, and food and beverage, and specialty stores.

An RG Property spokesman said the completion of the deal had rendered a good outcome. 

“We were pleased to deliver a strong result for investors as this syndicate comes to an end,” the spokesman said.

“We have been able to deliver robust cash flows as well as strong capital growth over the life of this investment.”

Savills Australia national directors Peter Tyson and Steven Lerche brokered the deal after receiving more than 190 buyer enquiries through an expressions-of-interest campaign.

“The centre attracted enquiries from a wide buyer pool, including local, interstate and offshore investors,” Tyson said.

“As a dual-supermarket anchored centre, Park Ridge Town Centre is unique in today’s marketplace. Invariably neighbourhood shopping centres feature single supermarkets. The scale and dominance of this high-performing centre relative to its peers was obvious.”

The private investor was reportedly attracted to the centre’s strategic location in a major residential growth corridor. 

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▲ HB Land’s Tillerman Park Ridge project includes 320 lots surrounded by community parklands and the Hubner Park sports facility.

The southern growth corridor has emerged as one of south-east Queensland’s most popular house and land destinations for homebuyers.

HB Land’s Tillerman Park Ridge estate secured 42 sales across four weeks recently, and the latest Oliver Hume data echoes the strong sentiment in the market.

Oliver Hume’s latest quarterly market insights show a growth of 5 per cent for median lot price in the Logan area in the last quarter, taking the price to $315,000, which represents almost 50 per cent growth in prices over the past five years.

Central to the region’s lure is its affordability according to HB Land chief executive Michael Vinodolac.

“In the current interest rate environment everyone is focused on value for money and affordability, and right now Logan and Park Ridge are ticking all of those boxes,” he said.

“The community is designed to promote pride in place through a feeling of shared ownership of common spaces and we have seen buyers really embrace that idea.

“There is a strong sense of community in Park Ridge and we have had a lot of buyers from the local area who have been waiting for the project to come to market.”

Article source: Queensland Property Investor