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News release


2016 begins strongly for retail investment with Caboolture Square offered to market

Sam Hatcher and Jacob Swan of JLL have announced exclusively the sale of Caboolture Square Shopping Centre on behalf of Charter Hall.

The offering presents an established and strong performing sub-regional centre with the opportunity to execute a re-leasing strategy capitalising on a recent and comprehensive centre refurbishment. Caboolture Square is available for sale via Expressions of Interest closing at 4pm (AEST) on Thursday, 19 May 2016.

JLL's Sam Hatcher said 2015 was a record year for the Queensland retail investment market with transaction activity reaching levels not seen before and new benchmarks for yields and pricing being consistently achieved. "This record demand has been largely driven by considerable investment in centres, such as Caboolture Square that present value add options for incoming purchasers, with total sale volumes across Australia of $1.9 billion for this retail sector alone," he said.

"Buyers are clearly taking a long-term view on the Queensland economy, as reflected in the very high levels of investment activity. As a result of strong competition and yield compression in New South Wales and Victoria, buyers have sought assets in Queensland as a more opportunistic long-term strategy." ​

Caboolture Square is an established 16,051sqm sub-regional shopping centre anchored by long-term leases to Kmart and Coles, supported by one mini-major, 34 retail specialties, four ATMs, two kiosks and 14 other non-retail tenancies.  It occupies a major 17,290sqm site with two street frontages providing considerable exposure for the centre with vehicular access to over 900 basement car spaces provided from King Street and Elliot Streets.

The centre has recently undergone a major $18million refurbishment program which included new roof and services, mall and tenancy upgrades and the introduction of travellators into the car park.

JLL's Sam Hatcher said the centre was based in a strong area of growth. "The projected population forecast around West Caboolture could see population grow to 131,910 by 2041, at an average annual rate of 1.5%. This will see retail expenditure grow from about $1.1 billion in 2015 to $2.8 billion by 2041, at an average annual growth rate of 3.8%," he said.

"The Coles supermarket is the largest and only full line supermarket in the primary catchment and Kmart's new store roll out has realised double digit growth for the store," he said.  

"The opportunity exists to execute a centre releasing strategy capitalising on the significant centre refurbishment program undertaken by the current owners. We are anticipating strong interest from the core plus/value add national buyer groups."