This article is from the Australian Property Journal archive
A RARE opportunity to acquire a full-line supermarket paying turnover rental is up for grabs, with a Woolworths on the Central Coast becoming the first NSW freehold supermarket to be publicly marketed in over 12 months.
Even with a Coles and Aldi trading within 300 metres, Woolworths Umina Beach is the dominant and largest supermarket in its catchment, trading 20% above the Urbis benchmark.
Located at 261-274 West Street, Umina, the supermarket is on a 4,451 sqm total site area with 3,865 sqm total in gross lettable area and has a low occupancy cost of 2.5%.
It has an 18-year lease with 10-year option periods, with a weighted average lease expiry of 6.64 years by gross lettable area and income. Woolworths currently pays turnover rent, with the performance supported by a population density 10 times the Central Coast average.
Colliers’ James Wilson and Ben Wilkinson have the listing.
“Woolworths Umina Beach is the first NSW freehold supermarket to be publicly marketed in over 12 months,” Wilson said, adding “incredibly” strong interest is expected from predominantly domestic and offshore private investors due to pent up demand from new and existing supermarket mandates.
Woolworths Umina Beach offers 230 metres of triple street frontage along West Street, Bullion Street, and Trafalgar Avenue, and has 118 basement car parking spaces and ample adjacent council car parking.
Expressions of interest close Thursday, 17th October.
Recent supermarkets to change hands have included a Coles in Melbourne’s Bentleigh for more than $25 million, on a sub-4% yield, while a freestanding regional Victoria Woolworths supermarket, in Ballarat’s Wendouree, sold for just under $13 million, on a mid-5% yield.
That was quickly followed by the strata full-line Woolworths Craigieburn, in northern Melbourne, for $17.07 million, on a 5.71% yield.
