dandenong plaza
Dandenong plaza is lcoated in Melbourne’s growing south-east. Image supplied.
  • The off-market sale was managed by CBRE's Simon Rooney
  • Pelligra last year acquired the former Ramada Encore Hotel in Dandenong
  • The centre is currently home to more than 160 retailers

The Dandenong Plaza, in Melbourne’s growing south-east, has been acquired by major development group Pelligra for $145 million.

Simon Rooney, CBRE’s Head of Capital Markets – Pacific, managed the off-market sale of the centre, which currently has a developed masterplan to expand and activate the site.

The acquisition adds to Pelligra’s growing Dandenong landholdings, following the purchase of the former Ramada Encore Hotel – one of the largest suburban accommodation assets – mid last year.

Dandenong Plaza has a gross leasable area of 53,768 sqm, and occupies a landmark 7.7-hectare site in the Dandenong CBD. The areas has been targeted by the state government’s Revitalising Central Dandenong urban renewal initiative.

This project, with a timeframe of 15 to 20 years, aims to restore central Dandenong as the capital of Melbourne’s southeast. It is expected to attract over $1.2 billion in private sector investment.

The five-stage plan for revitalising Dandenong Plaza will ultimately result in 209,000 sqm of gross floor area (GFA) for residential, retail, commercial and hotel uses. There is the potential to deliver a further 125,000 GFA across future stages.

Dandenong Plaza has strong road and rail connection, and is home to over 160 retailers. There is parking space for 3,157 cars.

The main trade area population for the centre is 254,000, with this forecast to grow by 0.9% per annum to 292,000 by 2036. Spending in the area is expected to increase from $3 billion to $4.8 billion during this period.

You May Also Like

Work from home is here to stay, and Australia’s secondary offices are at a turning point

Secondary office assets face challenges with poor uptake and declining values, especially in B and C-grade properties.

Why Australia needs more industrial assets to boost productivity and growth

A new report reveals that Australia’s industrial assets handle over $1.2 trillion worth of products annually.

Sydney’s retail sector continues to improve, with one area boasting zero vacancy

Vacancy rates for Sydney’s prime retail core have dropped to 8.3%, with the one area recording vacancy rates of zero.

Construction titan Beehive Homes finds its new home in a prime Williamstown North warehouse

NSL Property Group facilitated the $650,000 deal, highlighting the property’s prime location and industrial versatility.

Experts Corner by The Property Tribune

Ko & NPA partner to launch several co-owned luxury properties at Mermaid Beach, Gold Coast

Ko's partnership with NPA Projects provides more opportunities to co-own off-the-plan holiday residences, including exclusive Gold Coast properties

Continue reading

Top Articles

Expert tips on how to be a successful property investor

Property expert and buyer's agent, Lloyd Edge, shares his insights.

Australian commercial property update: Industrial and tourism assets lead the pack in trying times

Commercial assets have faced volatility recently, driven by financing changes and demand fluctuations from institutions and funds.

WA has emerged as a property investment hub, and why that's a good thing

Eastern investors chase Perth's affordability, doubling the distance between home and investment in 2023, reveals MCG research.