A private family owner has listed the Yarra Junction Shopping Centre in an attempt to take advantage of surging population growth in Melbourne’s outer east.
The 3,500sq m neighbourhood centre is located on the Warburton Highway and sits on an 8,230sq m site.
The centre features 11 specialty stores including an optometrist, bakery, chemist, and Bendigo Bank, which, together with Woolworths, return $1.3 million per annum.
The centre, with a strong trading history of over 25 years, has continued to benefit from a consistent population and tourism growth within the Yarra Valley Region.
CBRE state director Justin Dowers with national director of retail investments Mark Wizel will market the regional shopping centre.
“We expect a lot of interest in an asset that is well positioned for growth on the back of both an influx of new residents, and the market trend towards retail property investment which offers a defensive investment and strong underlying land value,’’ CBRE national director of retail investments Mark Wizel said.
“Due to increasing demand for retail services in the Yarra Valley region including Yarra Junction Shopping Centre, there is a clear opportunity to add value to this centre.”
According to CBRE research neighbourhood centre sales were up 28 per cent to $2.28 billion in the 12 months to the end of June compared with the $1.78 billion in sales over the previous 12 months, signalling a strong trend back to retail.
“There is a clear undersupply of quality retail services in the location and this centre is very well placed to benefit from any capital investment,” Wizel said.
The expressions of interest campaign closes on November 29.
Victorian sub-regional centres sold this year include the Mornington Village Shopping Centre, which sold for $39.38 million in May, and The Village Bacchus Marsh Shopping Centre netting $61.65 million in April.
Other sales include the $117 million purchase of the Gateway Plaza in Leopold, in Geelong, to Charter Hall in June.
The Burwood One Shopping Centre has also hit the block in what could be one of the biggest retail sales of the year in Victoria.
The sub-regional shopping centre, which occupies a 58,780sq m site, is expected to fetch about $200 million.