Boambee Central photo
Boambee Central. Image supplied.
  • The Boambee Shopping centre was acquired off-market
  • Sale includes a gross leasable area of 3,041 sqm plus a 1,917 sqm parcel of vacant development land
  • Comes as appetite remains strong for convivence-based centres, even in regional areas

Boambee Central Shopping Centre, located near the coastal NSW town of Coffs Habour, has been acquired for $12.8 million.

In an off-market deal from a private syndicate, Brisbane-based fund manager Exceed Capital snapped up the centre.

The neighbourhood convenience-based shopping centre was originally developed in 2002 and is anchored by a 2,680 sqm Ritchie’s Supa IGA supermarket.

It has three specialty shops, a total gross leasable area of 3,041 sqm and a 1,917 sqm parcel of adjoining vacant development land.

The deal was negotiated by Peter Tyson of Savills.

“The centre provided an attractive, fully-leased investment opportunity anchored by a strongly performing supermarket and minimal specialty tenancies, with the benefit of spare land for future expansion,” said Mr Tyson.

“The combination of a high-performing supermarket on a lease under-pinned by ASX-listed Metcash Trading Limited, a stable income profile and potential for capital uplift with development were attractive metrics for investors.”

Peter Tyson, Savills

The announcement comes as the appetite remains strong for daily-needs centres, which has been fuelled by the pandemic. Yields have tightened for this asset class too – the sale of Boambee represented a passing yield of 5.5% although, of course, this includes the spare land.

Savills has also brokered two significant assets in regional New South Wales recently; Woolworths in Wagga and Narrabri, with passing yields of 4.25% and 4.4% respectively.

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