This article is from the Australian Property Journal archive
FORMER Queensland Premier Campbell Newman’s Arcana Capital has acquired the multi-tenanted large format Mackay Retail Centre for $12.3 million.
Located at on a 2.18-hectare site at 17 Greenfields Boulevard in a major retail precinct, around 3km out from the Mackay CBD, the centre was constructed in 2001 an extensively refurbished in 2016.
“This is a high-quality large format retail centre which is fully leased to national retail brand operators on long leases,” said Colby Phillis, manager of investor relations at Arcana Capital.
“We’re delighted to bring an asset of this quality into our portfolio with an outstanding mix of retail tenants.”
Across a net lettable area of 6,241sqm—reflecting 28% site coverage—the centre is 100% leased to national brand retailers such as Clark Rubber, Beds R Us, Betta Home Living, Intersport and Silly Solly’s, with a 6.5-year WALE.
The site also includes plenty of at-grade car parking for over 200 vehicles. Arcana is forecasting a distribution of 8.00% per annum.
Newman said this is an exciting acquisition that satisfies the essential property fundamentals for wholesale investors: a high-quality property in a strong economic area, with long leases to strong tenants, paying a very competitive monthly distribution to investors forecast at 8% per annum.
“We received significant interest from investors and were able to successfully raise capital in a difficult economic environment,” he added.
The transaction was completed through Joe Tynan, Michael Hedger and Harrison Coburn at CBRE.
Tynan said the formal, on market Expressions of Interest campaign had attracted a significant number of enquiries from HNW private investors and syndicators, resulting in five formal offers.
In 2023, Arcana Capital added to its Australia-wide portfolio of commercial, industrial, fuel, medical, and non-discretionary retail assets including the acquisition of:
- Multi-tenanted office building at Eight Mile Plains, QLD for $13.55 million
- Multi-tenanted office building in Perth, WA for $12 million
- A government-anchored commercial office building in Phillip, ACT for $17.4 million
- A multi-tenanted large format retail centre in Mackay, QLD for $12.3 million.
These acquisitions in 2023 total $55.25 million, with $36.81 million equity being raised in 2023.
