4th March 2015.
Sirona Capital has closed the syndication fund for the purchase of the Margaret River Shopping Centre.
The private equity group launched the fund in November, its seventh property syndication, to buy the shopping centre.
The sale price was not disclosed but a source close to the deal said the property would change hands later this month for about $18 million.
Sirona Capital managing director Matthew McNeilly said the centre was in an area with above average population and retail trade growth forecasts.
“Our research told us that this was a primary catchment area with retail trade growth potential and our investors have clearly seen the opportunity this strategic investment holds, with the fund now fully allocated,” Mr McNeilly said.
“We particularly like the local economic drivers including expected increased investment in the agriculture sector and tourism numbers likely to swell due to a weaker Australian dollar.
“We see this property as a significant value-add opportunity that will allow Sirona to implement a comprehensive leasing strategy to ensure this brand new centre delivers superior returns.
“It delivers Sirona with a strong strategic market position as the owner of the only integrated supermarket and specialties centre in the Margaret River township, incorporating all-weather undercover parking, and which provides a superior retail experience for visitors and residents in Western Australia’s world-renowned tourism centre.”
The centre, on the corner of Town View Terrace and Willmott Avenue in Margaret River’s CBD, is anchored by a Woolworths supermarket with a 20-year tenancy, BWS Liquor store and 16 specialty tenancies.
CBRE’s Andrew Woodley-Page negotiated on behalf of the vendor, the SCA Property Group.