This article is from the Australian Property Journal archive
THE Como Centre has been put up for sale by the family that has held the inner-Perth shopping centre site since 1927.
Occupying an 8,024 sqm landholding, 25 Preston Street is anchored by an IGA supermarket and the Karalee Tavern, with both parties on leases running to 2028 and includes several specialty shops for a net annual income of $887,089 and weighted average lease expiry of 4.4 years.
The property was purchased by the Burnett family in 1927 as a home for its bakery business, which remained a Como staple until the shopping centre was developed at the site in the early 1970s.
The Burnett name has a long history with the area. George Burnett – the son of bakery founder Alex – served as the City of South Perth Mayor from 1968 to 1989.
Recent rezoning by the Council allows mixed-use development of up to eight storeys at the property, which is on the Labouchere Road and a short walk from Como Beach.
CBRE’s Aaron Desange and Nicholas Volk have been appointed to sell the site.
“We are expecting strong interest from investors, as assets of this nature, providing a core income return profile and substantial future development upside, are extremely rare,” Desange said.
“The IGA and Karalee on Preston trade exceptionally well given the high exposure the centre offers. This is highlighted by tenants opting to stay in occupation, with some now into their third lease cycle.”
Perched between the Kwinana Freeway and Canning Highway, Como’s historic Preston Street is also home to the 1938 art deco Cygnet Cinema and a range of popular local cafes.
“Convenience-based retail assets remain a draw for investors, given their defensive income stream and demand profiles,” Volk said, adding that with the current lack of a full-line supermarket in the immediate catchment area, the property is a high-traffic, drawcard activity centre for the Como neighbourhood.
Expressions of Interest invited before May 12.
