This article is from the Australian Property Journal archive
ONE of Toowoomba’s biggest retail properties, the Wilsonton shopping centre, has been put on the market and is expected to fetch more than $60 million.
The centre is being sold via an expressions of interest campaign run by Stewart Gilchrist and Lachlan MacGillivray of Colliers International and Jacob Swan and Sam Hatcher of Jones Lang LaSalle closing Thursday, May 30.
The 4.43ha site was acquired by private interests in 2009 from Multiplex, following its acquisition of the centre from Clive Berghofer in 2007.
The centre underwent a refurbishment in 2012 and currently has 16,004 sqm of lettable area over several buildings and is anchored by a Coles and Woolworths supermarkets, on 20-year leases expiring in 2032 and 2031 respectively. It also has a medical centre and allied health offerings, as well as 63 specialty stores. The property has 874 car parks and five ATMs.
Swan said the centre has the potential for further expansion, with the ability to include a DDS and link the two supermarkets with an internal retail mall.
Gilchrist said institutional investors were increasingly looking at investing in Toowoomba, and as such, it was likely they would be interested in purchasing the Wilsonton shopping centre.
“Major institutions are significant investors in the region, particularly in the retail market – Colonial owns Clifford Gardens Shopping Centre, ISPT owns K-Mart Plaza and QIC has recently announced a significant expansion of Toowoomba’s Grand Central shopping centre,” he added.
“Despite some challenges in the retail sector in recent years, retail assets remain appealing from an investment perspective.
“In particular, high-quality, dominant shopping centres are still performing well despite the slowdown in retail turnover growth. They continue to be viewed as a defensive investment class, especially neighbourhood centres anchored by supermarkets, as food retailing, reliant on non-discretionary spending, is where the growth has been in the retail sector,” Gilchrist said.
“The Toowoomba region has experienced significant market activity and improvement due to the proximity to the Surat Basin, where there is in excess of $180 billion in gas, coal and energy projects, which results in a massive supply chain to the Darling Downs.
“With plenty of employment opportunities in the area, people are increasingly moving to Tooowoomba – it is one of the largest regional cities in Queensland, and its population is projected to increase by 3,000 to 4,000 residents in the foreseeable future,” he concluded.
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