Adelaide, 25 August 2015 –A private local investor has snapped up The Junction Shopping Centre in Valley View for $12.3 million.
The 10,430sqm neighbourhood shopping centre, located at 901 Grand Junction Road, benefits from extensive upgrades completed approximately seven years ago, ample parking for over 160 vehicles, exceptional exposure to the major four-lane thoroughfare of Grand Junction Road and two additional street frontages to Nelson Street and Down Drive, providing excellent accessibility.
The centre features a quality mix of convenience-based specialty stores, anchored by a large Foodland Supermarket, which are well-suited to satisfying the day-to-day shopping needs of the local community. The average lease expiry for tenants is approximately 5.7 years, with the centre offering an annual income of over $950,000.
Alistair Laycock and Philip Rundle of CBRE negotiated the sale on behalf of the local developer vendor via an Expressions of Interest campaign. The sale represented a yield of 7.85%.
Mr Laycock said the campaign received strong interest, mostly from local and interstate private investors and syndicators, underpinned by the relatively new, modern improvements, the long-term leases to Foodland and Jetts Fitness and mix of convenience-based specialty stores.
“We are continuing to see significant demand from investors seeking retail assets, including supermarket-based shopping centres and large format retail, with yields continually compressing beyond market expectations.”
For Australian/international news or global stories, follow us on Twitter.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2014 revenue). The Company has more than 52,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 370 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.