- Riverlakes shopping village sold to private investor for $17.4M on a passing yield of 5.5%
- Buyer demand strong in retail sector, particularly for centres with medical component
- Transaction marks third time Savills agents have sold the property in the last decade
The Riverlakes Village shopping centre in Cornubia, south of Brisbane, has sold for $17.4 million.
The convenience retail centre was campaigned and transacted by Savills agents Peter Tyson and Jon Tyson in conjunction with James Francis and Chris Towers of Towers Francis Property.
After experiencing strong interest with more than 250 enquiries, the property was sold on a passing yield of 5.5% to a local private investor.
The centre is is currently securely leased with a WALE of 5.6 years and a fixed rent increase of 3-4% per year, offering owners a net income of $994,087 per annum.
A show of strength for retail market
The sale showcases a pattern of strong buyer demand in the convenience retail market in Queensland, off the back of two petrol station sales in Bundaberg.
The Riverlakes shopping village comprises of four buildings and offers a diverse range of tenancies, including medical services, childcare and fitness centres, and retail stores.
“Buyer demand for centres featuring a strong medical component has grown significantly throughout and post the pandemic making opportunities like these highly competitive when they come up,” said Mr Francis.
Established in the early 1990s, the village was refurbished in the early 2010s.
Key tenants currently include a freestanding Anytime Fitness centre and a drive-thru Zarraffa’s coffee shop.
The property is situated 32km southeast of Brisbane’s CBD and offers extensive frontage to a main arterial road, Beenleigh-Redland Bay Road.
The location offers excellent exposure with high volumes of passing traffic averaging around 22,000 cars per day.
The $17.4m sale marks the third time Savills agents Peter Tyson and Jon Tyson have been engaged to list the property within the last decade.