This article is from the Australian Property Journal archive
A PRIVATE investor has pounced on an Airport West retail centre anchored by Officeworks for $8.405 million.
The sale represents a yield of 6.86%.
Colliers International’s Tom Noonan and Peter Bremner negotiated the sale of a retail centre at 3-7 Dromana Avenue Airport West.
Noonan said the property attracted in excess of 120 enquiries, predominantly local private investors.
“On offer were three retail tenancies located in an established retail precinct, on a significant combined freehold site area of 3,938 sqm with excellent at-grade parking,” he said. “The campaign attracted strong bidding and interest despite the short lease expiries in place.”
Situated opposite Westfield Airport West, the 2,019 sqm centre is fully leased to Officeworks, which accounted for 70% of the income, and two long standing tenants in BNNtech and Matchworks.
“This transaction follows the record sale, by Colliers International and JLL, of a Dan Murphy’s in Pakenham earlier this month for $8.76 million.
“This is a highly sought after asset class. Retail assets anchored by national tenants with long term development upside are attracting keen interest from a wide range of buyers,” Noonan said.
The Airport West sale is the first of a spate of Officeworks going on the market across the country with other offerings at Vermont South, Mackay and Woolloongabba.
Australian Property Journal
