Melbourne, 16 March 2016 – A private investor has snapped up a Sleeping Giant tenanted retail holding for $3.2 million, representing the increasing investor demand for secure retail opportunities.
Located at 4/286 Maroondah Highway, Chirnside Park, the site was sold with a brand new lease to bedding retailer Sleeping Giant, which is committed to the space for a five year term with options to 2031.
CBRE’s Rorey James, Josh Twelftree and Ryan Arrowsmith negotiated the sale of the retail offering, which is located within the Chirnside Park Homemaker Centre. The property was sold via an off-market campaign on behalf of the private vendor.
Mr Twelftree said the team had recently witnessed several retail owners leasing their properties and immediately selling them at record prices, in order to make the most of current market conditions.
“Investors love the secure passive nature of these retail investments, particularly those offering leases to national retailers. As such, we are seeing yields tighten in this investment class as owners are cashing in as demand from investors continues to increase.”
“The sale follows the recent transaction of a strata retail investment occupied by French provincial furniture retailer Maison Est. for $5.12 million in Northland Homemaker Centre, demonstrating the huge demand for this investment class – particularly with the strong sales results and the fact the sale was negotiated easily off-market,” said Mr James.
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CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2015 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.