- The shopping centre covers 40,023sqm
- Was originally developed in 1998 with several refurbishments since
- Gungahlin's catchment area earns 26.9% more than the average Australian household
Amid a record year for shopping centre investments, property group Vinta has announced it will be selling its high performing 40,023sqm Marketplace Gungahlin shopping centre in Canberra.
Over $400 million is expected for the centre. The expression of interest campaign will be steered by CBRE’s head of Capital Markets, Pacific, Simon Rooney.
Marketplace Gungahlin was developed in 1998 before undergoing significant extensions and refurbishments in 2006 and 2016, with another expected over the next year. This will include a new Aldi supermarket.
Currently, the centre benefits from a strong line-up of major tenants such as Woolworths, Aldi, Kmart and Big W along with seven mini-majors and 109 speciality tenants. The latter has a speciality productivity rate of 19% above average, according to Urbis.
“Marketplace Gungahlin is one of the best performing, high growth sub-regional assets to come to market in many years, with a thriving major tenancy profile and robust specialty component, trading at well above industry averages,” Mr Rooney said.
“A record $12.7 billion in Australian retail assets were transacted last year and that momentum has continued into 2022, with the comparative return profile for retail investments and significant asset value rebasing marking the retail sector as a compelling investment proposition.”
Simon Rooney, CBRE
Booming area
Gungahlin, 11 kilometres north of the Canberra CBD, is among one of the fastest-growing regions in Australia. Significant land releases are expected to accommodate population growth of 2% per year.
The centre’s main trade area is expected to reach 187,000 people by 2031.
Over the same period, retail spending growth of 4.8% annually is expected. This represents an increase from $2.4 billion presently to $3.8 billion in 2031. Robust retail expenditure is forecast to grow by 5.2% per annum within the primary trade area.
Additionally, household income levels in the area are 26.9% above the Australian average.
Expressions of interest are scheduled to close by Thursday, 12 May.
