Consolidated Properties Group's Casuarina Village Shopping Centre has been picked up for $27.4 million on a 5.90 per cent yield by Sydney-based investor, Whistle Funds Management.
Casuarina Village represented the latest project completed by Consolidated Properties within the estate and it was developed in joint venture with Melbourne-based financier CVS Lane Capital Partners.
Casuarina Village is an open air, single level neighbourhood shopping centre located on the NSW Tweed Coast which is anchored by a full line Coles Supermarket and 14 high quality specialty retailers.
Consolidated Properties first created the 176-hectare Casuarina masterplanned community in 2003 and the community now boasts a population exceeding 3,000 residents.
JLL's Sam Hatcher and Jacob Swan said the on-market sale campaign for Casuarina Village generated significant domestic and offshore interest from private, syndication and institutional investors.
“The sale highlights a very prevalent market trend at present -- high quality, well leased centres are experiencing levels of demand we haven’t historically experienced. The ‘flight to quality’ phenomenon has never been more evident.”
This demand has been across the retail sector in NSW, with over $500 million of retail assets reportedly transacted during the year's third quarter.
NSW retail turnover growth has increased by 3.4 per cent over the year to September 2017.
The state's strongest performing retail categories include cafes, restaurants and takeaway food services which sat at 4.9 per cent p.a, with and food retailing at 4.3 per cent per annum. These performance numbers contributed to an increase in retail turnover growth in NSW by 3.4 per cent throughout 2017 until September.
CVS Lane Capital Partners managing director Lee Centra said the investment partners saw an opportunity based on the current strength in the retail investment market to offer Casuarina Village.
Casuarina Village Shopping Centre attracted interest from over 120 parties due to the opportunities for expansion of the centre, strong lease expiry profile with WALE of 11.12 years by gross passing income and exceptional MAT growth in the Coles supermarket.
